Ireland to prohibit donations of cryptocurrencies to political parties


In a move aimed at preventing Russian interference
in the European nation's elections against the backdrop of rising tensions
between the West and Moscow over the conflict in Ukraine, Ireland is preparing
a ban on political parties accepting donations in cryptocurrency.
The Irish Local Government Minister, whose
department is working on electoral reform, Darragh O'Brien said, “The appalling
invasion of Ukraine and insidious disinformation war highlights the ongoing
fundamental threats faced by all democracies.”
Electoral Reform Bill 2022 proposes new political
integrity rules to reduce the risk of foreign interference in Irish elections,
as well as to introduce safeguards against misinformation campaigns.
Crypto donations can conceal the identity of a
donor, increasing the risk of foreign governments entering a campaign using
dark money.
Both the Ukrainian government and Russian
Federation have turned to cryptocurrencies for fundraising and as a way to
evade sanctions, as their war with Ukraine has moved online. Both sides are
registering hacking attacks on government websites and databases.
Irish law is not the only one restricting political
donations in cryptocurrencies. California banned cryptocurrency donations to
political campaigns in 2018 due to a perceived lack of transparency. North
Carolina, Oregon, and Michigan have similarly adopted rules limiting
cryptocurrency donations.
According to a report by Ireland's Independent
newspaper, the Electoral Commission has the power to issue take-down notices to
social media platforms and alerts if misinformation is being spread online.
In addition to introducing guidelines for
advertising on the internet for political purposes, the new Electoral
Commission of Ireland's new guidelines also requires parties to declare clearly
how their ads are funded and who they are targeting. Political parties must
also report whether they adhere to new regulations.

Pavan A
CBW - External Analyst
INDIA