FEC Gives PACs The Go-Ahead On Bitcoin

Federal Election Commission says political action committees can accept payment via Bitcoins (Techdirt, 9 May 2014) – After some amount of hand-wringing, the Federal Election Commission has said thatpolitical action committees (PACs) may accept bitcoin donations , though they can’t then buy goods and services with those bitcoins. Furthermore, it has to convert the bitcoins to dollars before depositing them into its campaign accounts. In other words, its effectively allowing the use of bitcoin as a payment system, rather than as a currency. However, at the same time, it will allow campaigns to buy bitcoins as an investment vehicle. There’s also some confusion over what this all means. Rather than issuing a full ruling, the FEC released an “advisory opinion” based on a specific request from the Make Your Laws PAC, which specifically asked for the ability to accept bitcoin donations up to $100. What’s not clear is if the FEC is just agreeing to that level of donations or if it’s okaying larger donations as well.

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Image courtesy of techinasia.com/bitcoin-illegal-thailand/cdn.btcpedia.com.