Canada advances crypto donation ban: plans to block crypto political funding channels

Odaily Planet Daily News — The Canadian government proposed the “Strong and Free Elections Act” (Bill C-25) on March 26, aiming to prohibit donations to political campaigns using cryptocurrencies like Bitcoin. It categorizes cryptocurrencies alongside checks and prepaid payment instruments as “hard-to-trace” sources of funds, and this ban applies to the entire political system, including registered parties, candidates, campaign teams, and third-party campaign advertising entities. This move follows the recent announcement by the UK to suspend cryptocurrency political donations, citing concerns over foreign funds entering the political system through cryptocurrencies. Should the bill pass, improperly received crypto donations must be returned or disposed of within 30 days, with fines of up to twice the amount of the violation and an additional maximum penalty of $100,000. The bill is currently in the first reading phase in Parliament.

It is noteworthy that Canada has allowed crypto donations since 2019, but actual usage has been minimal, with no related donation records disclosed in the 2021 and 2025 elections. Regulators have long been concerned that the “pseudo-anonymity” of cryptocurrencies could impact election transparency, ultimately shifting towards a stance of complete prohibition. (CoinDesk)