Nigel Farage has sparked controversy after promoting a £2 million cryptocurrency purchase by Stack BTC, a company in which he holds £215,000 worth of shares. The Reform UK leader appeared in a promotional video filmed at Blockchain.com's London offices, alongside former Tory chancellor Kwasi Kwarteng, who chairs Stack BTC.
The video, released on the morning of Farage's weekly press conference, shows him pressing a button to simulate a bitcoin order. Critics have raised concerns over potential conflicts of interest, given Farage's political influence and his party's pro-crypto policies. The Liberal Democrats have asked the Financial Conduct Authority to investigate whether the promotion amounts to market abuse.
Stack BTC describes itself as a 'bitcoin treasury company' that accumulates the digital currency, with its share price expected to rise or fall in line with bitcoin's value. Farage and Kwarteng are incentivised to see bitcoin perform well, leading to accusations of self-enrichment. Former Spectator editor Fraser Nelson called it 'a scandal hiding in plain sight', suggesting Farage's proximity to power could create a self-fulfilling prophecy for crypto investors.
Kwarteng defended the investment, stating that Farage bought shares on the same terms as other investors and that the idea of him influencing a $2 trillion market is 'ridiculous'. He added that Farage would place his shares in a blind trust or recuse himself from crypto decisions if he entered government. The row highlights growing scrutiny of politicians' financial ties to the volatile cryptocurrency sector.
