Canada is moving to ban political donations made via cryptocurrency to tighten campaign finance oversight. The Strong and Free Elections Act proposes prohibiting donations by cryptocurrency, money orders, and prepaid cards to political parties and third‑party election groups. The government argues these payment methods are harder to trace and could invite foreign influence, aiming to keep elections free, fair, and secure.
If enacted, violations would require refunds or disposal of donations and could transfer responsibility to election officials. Penalties would include fines up to $25,000 for individuals and up to $100,000 for corporations, with clawbacks equal to twice the donated amount. The bill follows earlier efforts, including a 2024 attempt by the Public Safety Minister that stalled after industry backlash, and reflects concerns raised in a 2024 report by Chief Electoral Officer Stephane Perrault that crypto donations complicate donor identification.
The proposal would proceed through parliamentary processes, including reviews by the House of Commons and the Senate, committee scrutiny, and assent by the Governor General before taking effect. Canada has permitted crypto donations since 2019, but passage would overhaul the system. In addition, the bill is reported to contain provisions regulating AI-driven deepfakes and measures against the spread of candidate impersonation content, with final enactment pending parliamentary approvals.
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