Andrew Yang's Super PAC to Accept Lighting-Powered Bitcoin Donations
By Mark Lemon – Cryptocurrency Professional
In what seems to be a first, the Lightning Network Bitcoin scaling solution, appears to be effecting the US-presidential elections.
Cryptocurrency activists that buy and sell Bitcoin and support democratic presidential candidate Andrew Yang, will be pleased to hear the launch of a crypto-friendly super Political Action Committee (PAC) on Thursday, known as Humanity Forward Fund (Humanity FWD). Thanks to the help of its payment processor, OpenNode, the entity is now accepting payments from lightning wallets.
Afnan Rahman, CEO of OpenNode elaborated that the PAC would accept as large as donations as possible but now allows those seeking to buy Bitcoin and contribute a small amount to participate. The system helps these smaller donations as all will go towards the cause as opposed to some going towards miners as a fee.
According to founder Seth Cohen, Humanity FWD will only be accepting Bitcoin donations from the first 21 days. After that, users can make donations denominated in a fiat currency. The group, however, hasn't decided if the PAC will hold or sell Bitcoin at the time of receiving the coin.
One concern of Cohen is additional regulatory requirements associated with potentially earning or losing money. The PAC, however, will be required to keep records of volatility for every donation made in Bitcoin.
Nevertheless, Cohen said that OpenNode's 1% processing fee is far lower than those of credit card processors that want to charge the super PAC up to four times as much. Many processing companies are charging larger fees to buy and sell Bitcoin, but this could reduce as adoption grows.
Even though this isn't the first time Americans have donated Bitcoin to political campaign initiatives, the 2020 election could very well be the first with a Bitcoin-centric super PAC focused on funding and garnering support for a candidate.