California campaigns soon can accept cryptocurrency contributions like Bitcoin under regulations adopted by the Fair Political Practices Commission.
The FPPC voted Thursday to lift the ban on cryptocurrency donations, adding California to the list of 12 states and Washington, D.C. that allow crypto donations in some form. Before the commission’s decision, California was one of nine states that banned crypto contributions.
Any contribution using crypto must use through a third-party, A U.S.-based payment processor, and must be converted to U.S. dollars immediately, according to the FPPC’s regulations. Campaigns would be required to use a payment processor that collects the name, address, occupation and employer of each contributor “to ensure the true identity of the contributor is disclosed,” ensuring that a crypto contributor receives the same level of privacy as a person who contributes in a traditional manner.
The FPPC’s new regulation will take effect in 60 days.