2016 Presidential Candidate Darryl W. Perry Announces He Will Now Accept Bitcoin Donations

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FOR IMMEDIATE RELEASE

 

Contact: Darryl W. Perry
Email: editor@fpp.cc
Phone: 202-709-4377

Presidential Candidate Darryl W. Perry Becomes the First Presidential Candidate to accept Bitcoin

April 19, 2013, Keene, NH – On this date in 1775, the first shots of the American Revolution were fired. Today, Presidential candidate Darryl W. Perry announces that he will be the first Presidential candidate to accept bitcoin, and will only accept alternative currencies.

There are several reasons for this decision.
First, Darryl is a supporter of alternative currencies and believes the Federal Reserve System should be abolished. In an attempt to put this support for alternative currencies into real-world practice, the campaign will only accept alternative currencies, converting them only as needed.
Second, Darryl does not believe the Federal Election Commission has legitimate authority to regulate the fundraising of candidates or donations of those giving to candidates or their campaigns. In an attempt to avoid compliance with the FEC, the campaign will not be accepting donations in the monies recognized by the federal legal tender laws.
Third, since the campaign will not be complying with FEC regulations, and since the campaign would like to raise funds, the only reasonable option for accepting funds without using the banking system is to only accept alternative currencies.
“I believe this is a major step in the progression of Presidential campaigns and elections, in general,” Perry said, “If I’m going to avoid their regulations in my campaign, I should also avoid using their money in my campaign !”
Bitcoin donations may be sent to: 1DWP16K2oeZEsX5z6vPWsZJ7GB5ajtgcb4
Litecoin donations may be sent to: LbuXfKMzNiEq5fP8cZ616EYEg3hD3wbTJU
All other donations can be arranged by contacting Darryl via email editor(at)FPP(dot)cc
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Darryl intends to spread the message of Peace, Freedom, Love & Liberty while running as a candidate for President of the United States. He intends to run the most radical libertarian campaign ever!

22 thoughts on “2016 Presidential Candidate Darryl W. Perry Announces He Will Now Accept Bitcoin Donations

  1. Andy

    This is cool. The national Libertarian Party is now accepting donations in Bitcoins as well, thanks to my suggestion, and thanks to Strarchild for taking it to the LNC, however, hardly anyone knows that the national Libertarian Party has not made any announcement about it, which almost defeats the purpose of them accepting donations in Bitcoins, but oh well, it’s better than not accepting them I suppose.

  2. Stewart Flood

    There was an announcement. I remember reading it.

    Bitcoin is the only currency less stable that the US Dollar. Ok…maybe Greece’s currency…but that’s about it.

    Anyone who has a bitcoin portfolio is more than likely using it as some form of investment/speculation device. That is not something that you would expect see given away to someone else.

    Remember, when you donate bitcoins you are technically responsible for paying taxes on the difference between what you paid for them and what they were valued at when you gave them away. Same as stocks. You have to count the increase (assuming there was one) as income that year, then take the deduction (if allowed, which it isn’t for donations to political parties).

    Is this right? Is this fair? No, this is the US tax system.

  3. Thomas L. Knapp

    Stewart,

    Yes, Bitcoin has been rather unstable, and precisely for the reason you imply — at this time, a lot of users are treating it more as a “buy low, sell high” speculation opportunity than as something to use as a medium of exchange.

    So the price climbs, until at some point a bunch of the speculators decide it’s time to take a profit, and then the price stops going up, falls a little, and other speculators panic and sell, and it crashes.

    That may change, or it may not. Bitcoin is certainly an interesting experiment that’s brought some new possibilities into action.

    While it’s not inherently anonymous (as a matter of fact, every transaction is publicly viewable), it can be anonymized with a little work.

    As far as taxes are concerned, the situation isn’t quite clear. There’s been some FINCEN “guidance” that seems to apply only to processing services, and so on and so forth.

    While I am not a tax attorney, I will offer my advice on Bitcoin and tax collectors: Fuck’em. If they want to steal from you, make THEM do the work and don’t help them pretend that that’s not what they’re doing.

  4. Thomas L. Knapp

    Side note on Bitcoin and anonymity:

    1) Every Bitcoin transaction is publicly viewable. That is, it is possible to ascertain how many Bitcoins move between which Bitcoin addresses.

    2) This means that Bitcoin is only anonymous if you take steps to hide the association of people with Bitcoin addresses.

    For example, the following URL will show all the transactions relating to the Bitcoin address which Darryl has publicly associated with his presidential campaign:

    https://blockchain.info/address/1DWP16K2oeZEsX5z6vPWsZJ7GB5ajtgcb4

    At the moment, the only transaction it shows is my 0.05 BTC donation. Since Darryl has made no secret of the association of that address with his campaign, that end of his donation stream is transparent not just to the government, but to everyone who might be interested. He COULD somewhat anonymize that if he really wanted to, by setting up some machinery to create new “green” addresses for every incoming transaction. That would make tracing the income harder, anyway.

    At the other end of the donation stream, even though I didn’t ask MtGox to create a “green” outgoing address, it appears to have done so — but since MtGox is a “legit, government-compliant” outfit, if the government really wanted to know who made that donation, they could presumably find out what account the address is associated with (and even if MtGox doesn’t have a lot of ID information on me, that account is publicly linked to me by my own choice).

    If I had wanted to donate anonymously, I could have — but it would have entailed some work. I’d have kept my Bitcoin in an offline or rogue wallet, and I’d have accessed that wallet from a public WiFi node using a clean computer that I’d paid cash for somewhere.

    So anyway, yeah, if it really wants to, the FEC or whomever can probably at least semi-effectively surveil the portion of Darryl’s campaign finances involving Bitcoin.

    But that’s not the same thing as him reporting to them and begging for their permission to accept donations of this or that amount from this or that person.

    That difference is my entire reason for making a donation (obviously a small one — I don’t have a lot of Bitcoin at the moment). I’m not big on electoral politics, but I do like supporting people who tell the FEC to piss up a rope.

  5. Stewart Flood

    I don’t necessarily disagree with your “tax advice”, but I wonder what will happen when the LNC tries to convert a bitcoin contribution to US dollars. What will the FEC want them to count the contribution as…the estimated value when it was donated or the value when they convert it. And if the value goes up, they’ve made — in effect — income on an investment.

  6. Thomas L. Knapp

    Stewart @ 7,

    “if the value goes up, they’ve made — in effect — income on an investment.”

    Once again, I am neither a tax attorney nor any other kind.

    However, since Bitcoin is formatted as a currency, and is only an investment by happenstance (as opposed to being issued as an SEC-regulated “security”) it seems to me that the situation would be no different than if the LNC received a dollar, kept it in a safe, and later used it when it was worth more or less than it was when it was donated.

    If someone sends a donation in yen, euros or yuan to the LNC, how do they report its value when they exchange it for dollars — the dollar value at the point of changing it into dollars, or the dollar value as of receipt?

    As far as taxes go, do capital gains taxes apply to foreign exchange currency transactions? If I buy euros today and trade them in for dollars tomorrow, am I assessed capital gains taxes on the value difference?

  7. Stewart Flood

    I actually was under the impression that contributions had to be in US dollars, which is why I am wondering how it will be handled.

    They “book” the contribution when it is made, and as far as I know that has to be reported in US dollars to the FEC. So they either have to sell the bitcoins when they get the initial contribution or they’ll have to deal with variance in valuation if they sell them later.

    Again, since neither of us is the tax attorney for the LNC…

  8. George Phillies

    Tom,

    It’s a thing of value, so it is reportable on the FEC forms. When last I inquired, your profits on trading in foreign currencies are indeed a capital gain. FEC accounts can make profits on investments. Mass State OCPF accounts are much more restricted. Political parties make no profits; they receive donations and make disbursements.

  9. Gene Berkman

    It appears to me that bitcoins are just another form of fiat money, only lacking legal tender status. Anyone using them is taking a risk, which is their right, but it seems that people who understand free market concepts of money would avoid newly created fiat “currencies.”

  10. Rod Stern

    The LNC does not accept bitcoins directly. People can donate via bitpay, which allows them to donate bitcoins which bitpay then sells and delivers the donation to the LNC in FRNs. Thus it is bitpay, not the LNC, which has to deal with any fluctuations in value, and there is no FEC issue for the LNC.

    It did get sent out in an email blast which was posted as an article here, but it was buried with 5 other stories in the same email and was not in the headline (and the same was done at IPR). It has not been put up on the LP blog (I’m not sure about facebook or twitter), and the last time I checked I did not see a bitcoin icon on the donation pages. There is a lot more the LPHQ could do to publicize that they now accept bitcoins, if they want potential donors to actually know about it. When the Canadian LP started taking bitcoins recently they made a press release about it. The US LP, not so much.

    It would probably be a good thing for IPR to do a separate story about it as well.

    As far as bitcoins being fiat currency, while it is true that they are not backed with anything of intrinsic value such as precious metals, they are also not subject to being devalued through massive printing (or its modern electronic equivalent) undertaken for political reasons, and are easy to move around, far more so than metals.

    Any currency is primarily valued based on how many people accept it as payment; only a small part of the value of precious metals is due to their uses in industry. In this sense all currencies are largely “fiat,” but since bitcoin is not politically controlled, it is better than government issued fiat currencies.

  11. Andy

    “Thomas L. Knapp // Apr 20, 2013 at 2:34 pm

    Donated (transaction ID 90822059b81d46c472ccb4c9c3e01f61b728d7880563edac926e542c2da399aa). ”

    Does this mean that Tom Knapp just donated to the Libertarian Party again? If so, I’m surprised, because I thought that you were finished with electoral politics, except of course for commenting about it.

  12. Andy

    Thomas Knapp said: “While I am not a tax attorney, I will offer my advice on Bitcoin and tax collectors: Fuck’em. If they want to steal from you, make THEM do the work and don’t help them pretend that that’s not what they’re doing.”

    Now THIS is the kind of tax advice I wish more people would follow. It is past time for people to stop behaving like a bunch of obedient sheep and paying extortion fees to the men and women calling themselves a “government” and pretending to have authority over everyone else’s lives. If enough people simply stopped complying there’d be nothing that the government could do about it. It would not even take a majority of the population to stop complying to cause the state to collapse. “We the people” vastly outnumber the government enforcers.

  13. Thomas L. Knapp

    Andy @13,

    “Does this mean that Tom Knapp just donated to the Libertarian Party again?”

    Nope. I donated to Darryl W. Perry’s presidential campaign.

  14. Andy

    Thomas L. Knapp said: “Nope. I donated to Darryl W. Perry’s presidential campaign.”

    Oh. I’m still surprised that you did this given that you’ve said that you are finished with electoral politics (beyond commenting on it).

  15. Thomas L. Knapp

    Andy@16,

    Well, that’s an interesting “given,” given that I’ve never said any such thing.

    I have said that I don’t see any prospect of achieving the results I want to achieve by participating in electoral politics.

    I’ve also said that I still work in electoral politics now and again, both for financial reasons and to help out friends.

    I even mentioned awhile back that I had joined a political party and was doing some work with that party, for the latter reason.

    I’ve known Darryl for awhile. I like him, and I like his approach to campaign finance, so I threw five bucks or so his way, and said so.

  16. Rod Stern

    If there’s something non-FEC compliant in the way Darryl Perry takes bitcoins, the FEC would just give him publicity if they go after him.

    I believe there have been other campaigns that have accepted bitcoins, for Congress or other offices.

  17. Stewart Flood

    The FEC only cares about federal campaigns once they raise or spend a combined total of $5K. So if you just raise money, you are safe from them until you hit $5K. If you spend it as you go, you have to file at $2.5K raised (assuming you spend it all).

    The legal requirement is that you MUST file at $5K. If you stop raising money at $4,999.99 and don’t spend a penny then they don’t come after you.

    Of course your donors might…

  18. Francis Sobran

    Bitcoin is just another financial manipulation fraud SCAM by the dirty filthy nasty jews!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

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