Bitcoin May Pave the Road to Washington

bitvestment partners washingtonGood news has come for Bitcoin. Now a federal agency may be on the cusp of allowing a limited amount of the digital currency to be used for funding political campaigns. This could go through the Federal Election Commission as soon as the impending mid-term elections.

This moved by the election commission marks a greater acceptance of Bitcoin. Many individuals and businesses are now at the point where they accept Bitcoin as if it were a credit card, why shouldn’t political campaigns? This has come up before, but the election commission wouldn’t let it pass last fall. This time around they seem much more likely to vote in favor of allowing the digital currency. Currently there is not a law prohibiting Bitcoin in elections and a few political groups already accept it. However, the majority of those in races are waiting for the election commission to give the go ahead.

Those who already accept Bitcoin include Texas Attorney General Greg Abbott who is running for governor. Additionally, the Libertarian Party collects about $20,000 in Bitcoin each year because they say it aligns with their currency philosophy of non-regulation.

But, of course, the fact that Bitcoin is unregulated and anonymous that has made it so popular, also makes it controversial. With the expansion of Bitcoin, Attorney General Eric Holder pointed out to lawmakers that any virtual currency poses a threat because it makes it harder for law enforcement to find illegal activity. Additionally, the anonymous transactions that make it so attractive to users also allow major online sales of drugs like the black market operation, Silk Road. It comes down to the fact that if the government is going to support campaign donations with Bitcoin and bring it into our government system, they are going to have to find a way to regulate it. However, since Bitcoin is already traded it could be considered, the already established, in-kind contribution like stock, bonds, or gold pieces, which are sometimes given to campaigns.