British members of parliament are calling for an immediate suspension of political donations made in cryptocurrencies, citing severe concerns that digital funds could serve as a backdoor for foreign interference.
British Lawmakers Demand Temporary Ban on Political Crypto Donations
25 February 2026 - 11:00 CET
Matt Western, the chair of the Joint Committee on the National Security Strategy, stated that a halt is necessary until the risks associated with crypto donations have been properly assessed. This includes establishing the ability to definitively confirm the source of the funds.
Worsening security environment
"We are concerned that foreign states' intent to interfere in UK political finance may grow" ahead of the next elections, Western warned in a 23 Feb letter to Steve Reed, the cabinet minister in charge of electoral finance.
He argued the issue becomes significantly more urgent "as the security environment worsens and the UK's military role in Europe grows." Consequently, he called for a temporary moratorium on accepting any crypto donations until the Electoral Commission produces statutory guidance.
Concerns regarding US influence
Foreign political donations are strictly banned in the UK. Western's committee noted that concerns regarding party and campaign finance are no longer centred exclusively on traditional adversaries. The committee highlighted that the US administration has recently outlined ambitions to shape political discourse in allied countries.
These parliamentary concerns were amplified after Reform UK became the first major British political group to actively solicit and accept donations in cryptocurrency.
Nigel Farage, the leader of Reform UK, who maintains close alignment with US President Donald Trump, confirmed in an October interview with Reuters that his party had already received a couple of crypto donations. The official website for the party actively encourages supporters to donate via digital assets.
Beyond the moratorium
Moving beyond a temporary ban, Western proposed strict long-term frameworks. He recommended that political parties should only be allowed to use cryptocurrency service providers that are fully registered with the Financial Conduct Authority. Furthermore, they must only accept donations where the ultimate source of funds can be identified with high confidence.
