UK Lawmakers Call for Moratorium on Crypto Political Donations

A cross-party parliamentary committee in the United Kingdom has urged the government to impose an immediate moratorium on crypto donations to political parties until stronger safeguards are implemented. The recommendation was included in a report by the Joint Committee on the National Security Strategy, which highlighted potential risks from foreign interference and insufficient regulation.

Proposed Safeguards and Legislative Changes

The committee suggested amending the Representation of the People Bill to halt crypto donations until the Electoral Commission issues statutory guidance. It also proposed creating a Political Finance Enforcement Unit, lowering the declaration threshold for gifts from £11,180 to £500, and increasing maximum custodial sentences for violations involving foreign funding to three years.

Growing Concern Over Crypto Influence

Crypto political contributions have raised scrutiny after Reform UK accepted $4 million in crypto donations in late 2025. The committee warned that cryptocurrency donations pose “unnecessary and unacceptably high risk” to political finance integrity and public trust, echoing similar restrictions adopted in jurisdictions like Ireland.

The report emphasizes the need for robust regulations before permitting crypto in UK politics.

Disclaimer

This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.