Investigation Initiated on Farage’s $6.7 Million Gift from Crypto Tycoon
Nigel Farage, leader of Reform UK, has reportedly received a substantial gift of approximately £5 million (around $6.7 million) from Christopher Harborne, a billionaire involved with Tether. This donation came just before Farage announced his candidacy for the Clacton seat in the upcoming 2024 elections, as reported by The Guardian.
The Conservative Party has referred this matter to the Parliamentary Standards Commissioner, while the Labour Party has raised concerns that Farage may have contravened House of Commons regulations.
In an interview with the Daily Telegraph, Farage acknowledged the gift, stating that it was intended to ensure his “safety and security” following previous incidents, including a milkshake attack in 2019 and a firebombing at his residence last year.
Harborne, who resides in Thailand and holds a 12% stake in the stablecoin company Tether, made this financial contribution in early 2024. Farage declared his intention to run for Clacton in early June of last year and subsequently secured the seat in July.
A representative from Reform UK characterized the gift as a “personal unconditional gift,” asserting that it was given prior to Farage’s election and stressing that his candidacy was “entirely unrelated” to the donation.
The spokesman added that they are confident all necessary disclosures have adhered to established regulations.
According to Commons conduct guidelines, newly elected MPs are required to report any benefits received within the year leading up to their election. The rules also specify that any potential benefits should be registered if there is uncertainty surrounding them. Reform UK maintains that this instance qualifies under the exemption for personal gifts.
The Conservative Party has formally requested that Parliamentary Standards Commissioner Daniel Greenberg investigate whether any portion of the donation supported political activities as opposed to personal security. Labour chair Anna Turley stated that Farage seems to have violated regulations once more.
Cryptocurrency Contributions in U.K. Politics
Earlier donations from Harborne included £9 million, equivalent to roughly $12 million at the time, which marked the largest individual contribution to a U.K. political party ever recorded.
This month, Ben Delo, co-founder of BitMEX, indicated through an op-ed that he has contributed £4 million ($5.1 million) to Reform since January.
In March, the U.K. government enacted an immediate ban on cryptocurrency contributions to political parties. This move followed concerns raised by the Rycroft review regarding potential misuse of digital assets for funneling foreign funds into U.K. politics.
This prohibition applies universally across all donation sizes and will be codified into the Representation of the People Bill, complete with criminal penalties for violations.
In a related development earlier this month, Farage invested £215,000 ($286,000) into Stack BTC, a London-listed bitcoin treasury firm headed by former Chancellor Kwasi Kwarteng. This investment granted him a 6.31% ownership stake through his investment vehicle Thorn In The Side.