A Kansas crypto bill seeking to limit and prohibit cryptocurrency donations in political campaigns has been postponed to January 2024. Known as HB 2167, the bill was introduced on January 25, 2023. As per the bill’s guidelines, politicians must “immediately convert” the crypto donations into U.S. dollars, restricting them from any other expenditures or holding (HODLing) the funds. However, the crypto bill failed to comply with the state’s Rule 1507 (Disposition of Bills Subject to Certain Deadlines), leading to its adjournment.
Kansas Crypto Bill – The Journey So Far
The Kansas House of Representatives initiated the bill, HB 2167, to address the growing concerns about transparency and potential manipulation of political funding through cryptocurrency donations. Lawmakers sought to ensure that funds channeled towards political activities were traceable and in compliance with existing financial regulations.
On February 22, 2023, the House Committee on Elections shared a report recommending the passage of the crypto bill, incorporating specific amendments. Despite the recommendation, the Kansas crypto bill was struck down from the calendar after its inability to satisfy Rule 1507 regarding deadlines.
Key Changes Proposed in the Bill
HB 2167 aimed to alter the manner of management of political donations, by requiring that:
- All cryptocurrency donations received by politicians must be instantly converted into U.S. dollars.
- The converted funds must be in a separate account designated for crypto donations.
- Politicians and political parties must not use crypto funds for any expenditures or hold them for speculative gains.
As the news develops, we’ll be here to give you updates.
