UK lawmakers urge ‘immediate moratorium’ on crypto political donations

Policy Share Share this article Copy link X icon X (Twitter) LinkedIn Facebook Email UK lawmakers urge ‘immediate moratorium’ on crypto political donations The committee highlighted that the fast payment traits of crypto, along with tools like mixers, tumblers, and AI-assisted splitting of payments below the £500 reporting threshold. By Francisco Rodrigues | Edited by Sheldon Reback Mar 18, 2026, 11:57 a.m. Make us preferred on Google Parliamentarians called for a moratorium on crypto political donations (Ugur Akdemir/Unsplash, modified by CoinDesk) What to know : A U.K. parliamentary committee called for an "immediate moratorium on crypto donations" to political parties, citing the "avoidable risk" they pose to political finance and public trust. The committee highlighted the fast payment traits of crypto, along with tools like mixers and AI-assisted splitting of payments below the minimum reporting threshold as helping to obfuscate the funds' origins. The committee wants the moratorium written into the Representation of the People Bill and is urging the government to empower the Electoral Commission to compel donor information from banks, HMRC, and crypto platforms to verify donors and avoid abuse. A U.K. parliamentary committee urged the government to impose “an immediate moratorium on crypto donations” until Parliament approves Electoral Commission statutory guidance. In a report , the Joint Committee on the National Security Strategy said crypto poses an avoidable risk to political finance and public trust. The committee said rules should be ready before the next general election. The reportnoted that the same traits that make crypto useful for fast payments also make it harder to monitor. It points to mixers, tumblers, privacy coins and chain hopping as tools that can blur the source of funds and warns that artificial intelligence tools could help split a large payment into many sub-500-pound ($668) donations, keeping each below the normal reporting threshold. Crypto donations remain legal in the country, even though cryptoassets are treated as property rather than legal tender, the report adds. Reform UK, the party led by Nigel Farage that leads in national polls, is the first European political party to say it will accept crypto donations . The total value of crypto donations Reform UK has received so far is unclear. Crypto investor Christopher Harbone has donated around $12 million in cash to the party. Natasha Powell, crypto exchange Kraken's chief compliance officer, told lawmakers that regulated exchanges can manage much of the danger. Still, the committee wasn’t convinced and said the current framework lacks the tools and staff needed to verify donors, trace funds and avoid abuse. As such, it wants the moratorium written into the Representation of the People Bill. The report adds that a ban on direct crypto gifts would not close every gap. A donor could still cash out cryptocurrencies into sterling before sending money through the banking system. The committee also wants the Electoral Commission to gain powers to compel information from banks, the tax authority and crypto platforms when it suspects impermissible activity, the report adds. Senior Labour members of parliament earlier this year called on Prime Minister Keir Starmer to ban cryptocurrency donations to political parties, over concerns these could be used by hostile foreign entities to influence elections. UK Crypto News More For You Stratton wins Illinois Senate primary, defeating crypto-backed Krishnamoorthi By Nikhilesh De 8 hours ago Lieutenant Governor Juliana Stratton is now likely to be the next Senator from Illinois, after defeating Rep. Raja Krishnamoorthi, who enjoyed major backing from crypto PAC Fairshake. Read full story Latest Crypto News Powell's comments on oil, inflation are likely to guide bitcoin traders 32 minutes ago Bitcoin’s rally runs into 'sell the news' risk ahead of Fed decision 1 hour ago Bitcoin holds steady at $74,000 as traders turn cautious before Fed meeting 1 hour ago Bitcoin is stuck below $75,000 even after landmark SEC, CFTC crypto rules 2 hours ago Bitrefill accuses North Korea-linked Lazarus hacker group for compromising 18,500 purchase records 4 hours ago XRP hovers near $14 million options battleground that could sway trading 5 hours ago Top Stories U.S. SEC issues first-ever definitions for what crypto assets are securities 15 hours ago Stratton wins Illinois Senate primary, defeating crypto-backed Krishnamoorthi 8 hours ago Mastercard's $1.8 billion deal 'a clear answer' to a massive shift in the global payment war 16 hours ago Arizona Attorney General files criminal charges against prediction market Kalshi 18 hours ago Senator Tim Scott says market structure negotiations are advancing 14 hours ago Sam Altman's World teams up with Coinbase to prove there is a real person behind every AI transaction 20 hours ago