Per several unnamed sources, relayed by Taiwanese media, Taipei city council has accepted cryptocurrency donation.
This is the first incident where an individual is accepting cryptocurrency. There have been instances of organizations who have accepted cryptocurrencies in the donation for a cause.
However, an individual who is running for a government position accepting cryptocurrency in donation is the first ever event in history.
The Taiwan news from a local news outlet has to say that the donor is an anonymous individual. The donation has been given in response to the recent campaign for donation launched by Hsin-Chen. This donation campaign called for anyone and everyone to donate.
The donation has been received in the form of 10,000 new Taiwan Dollars amounting to a value of USD 325 in Bitcoin value. This is the fixed limit set on non-cash donations. Stocks and cryptocurrency donations are considered to be non-cash donations according to the local regulations that apply to the political campaigns.
Hsiao called for donations in the month of August. He announced that he will be able to accept contributions that are made with cryptocurrency. However, he did not specifically mention the kind of cryptocurrency he will be accepting. The politician is set to promote technological innovation in Taipei by welcoming assets and blockchain technology and several other futuristic innovations.
This is not a money grab event. Integrating financial technology to political donations is one of the motives in the process.
Hsin-Chen remarked that by accepting cryptocurrencies backed by blockchain technology, it will be possible to mitigate corrupt and unfair practices of governmental officials with hidden malicious behavior.
Hsin-Chen, is a potential city council member. He explained that his move to accept Bitcoin cryptocurrency in donation is more than just symbolic. He is quoted to say, “Accepting Bitcoin as a political donation is more symbolic than the act appears.”
A similar move has been seen and banned in several other countries. According to an Associated Press report, “; California’s campaign watchdog arm says political donations can’t be made with cryptocurrency such as Bitcoin.”
Regulators tend to ban such donation types because the origins of these crypto holdings that are donated “are up for question and may raise questions about transparency.”
In a similar news thread, Colorado and Montana accepted cryptocurrency donations; however, with stringent restrictions to keep away financial risks.
The Federal Election Commission continues to be open in permitting individuals to donate using Bitcoin to Federal candidates.
While many of its neighbors are not open handed about cryptocurrencies. Taiwan, the island is open to the cryptocurrency in as much to be named the crypto capital of the world.
With Taiwan regulators integrating smart technology into their legal system; in the coming decades, digital assets and blockchain technology will be a key part of the process.
Green World Fintech Services, A Taiwanese startup announced to launch a stable coin that will be related to the value of one NTD. This project will be about establishing a “Taiwan Digital Token” to be placed on the “Ethereum network as an ERC-20 token.” They are patenting a “dollar to token” process.
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