The rising demand in cryptocurrency might have enticed this US state to accept cryptocurrency donations for the election.
Last year, South Carolina’s House Ethics Committee vetoed an appeal that will allow candidates to accept Bitcoin as a form of cryptocurrency donations for elections. The committee claimed that since there are no provisions for cryptocurrencies during that time, candidates, therefore, cannot collect Bitcoin. However, the state’s House of Representatives endorsed a new measure enabling the aspirants to utilize them.
Currently, the new bill is in the House judiciary committee. It mandates candidates to declare the market-rate value of virtual currencies such as Bitcoin when accepted as contributions. The candidates must need to sell the cryptocurrencies before using them in their campaign. At the moment, it does not have an accompanying bill to go with it in the state’s Senate.
“On the state level, those donations are subject to a patchwork of policies. At least eight states and the District of Columbia allow crypto contributions and have created limitations or added language to their election manuals addressing the issue.”
PalmettoChain executive director, Dennis Fassuliotis shepherded an endeavor to propose the bill in South Carolina House that would enable candidates to accept cryptocurrency donations during elections. He said that it is just the pinnacle of the iceberg of what they would like to discern.
Fassuliotis added that even though Bitcoin is nondescript in nature, using digital currencies for campaigns will increase a hint of transparency. It is due to the difficulty in masking the occurrence of the transaction.
Since 2014, the Federal Elections Commission (FEC) proceeded in approving contenders aspiring for federal office to start accepting cryptocurrency donations for their campaigns, but not all states joined the bandwagon. North Carolina, for instance, refused the idea of taking digital currencies as a form of election contribution.