Canadian Court Rules Government’s Freeze of Protester’s Crypto Donations Unconstitutional
The Canadian Government's 2022 decision to ban crypto donations for protesting truckers was ruled unconstitutional.Canadian court deems government’s freeze of protester’s crypto donations unconstitutional.
In a groundbreaking decision, the Canadian Federal Court has declared the government’s freeze of digital assets and crypto donations toward protesting truckers in 2022 as unconstitutional. This ruling comes after the “Freedom Convoy” protests, where truckers demonstrated against COVID-19 vaccination mandates. Let’s take a closer look at this case and its implications.
The Unreasonable Freeze
During the protests, truck drivers blocked major streets in the Canadian capital, leading to a three-week-long impassable situation. Government officials deemed the protest an illegal occupation and subsequently froze hundreds of bank accounts and other assets associated with the demonstration.
Prime Minister Justin Trudeau invoked the Public Emergency Act, a move unprecedented in Canada’s history, stating that they could not allow illegal activities to persist. This act granted police and other authorities the power to target the funds of protest organizers.
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However, a week after the freeze, reports emerged that the government had initiated the process of unfreezing, indicating that the measure was only intended to ensure protesters left the streets. This action raised questions about the legality and justification of the initial freeze.
Court Ruling in Favor of Protesters
The Canadian Civil Liberties Association (CCLA) and other groups challenged the government’s approach to freeze the assets of the protesters. Justice Richard Mosley, in his judgment, found that the government’s actions did not meet the standards set by the Emergency Act and could not be justified as more convenient than other available tools.
“In brief, I find that the reasons provided for the decision to declare a public order emergency do not satisfy the requirements of the Emergencies Act and that certain of the temporary measures adopted to deal with the protests infringed provisions of the Canadian Charter of Rights and Freedoms,” stated Justice Mosley.
Following the court decision, the CCLA issued a press release emphasizing that “Emergency is not in the eye of the beholder.” The CCLA termed the government’s actions as unjustified by law and as a violation of freedom of expression and the right against forceful seizure.
Extensive Clampdown on Protests
The Canadian government’s ban on protests had far-reaching effects, as it involved numerous fundraising platforms, including traditional bank accounts. GoFundMe, under pressure from the government, halted campaigns, resulting in the freeze of $9 million in funding. Protest organizers were accused of violating the platform’s terms and conditions.
Undeterred, organizers turned to GiveSendGo, where they managed to raise an additional $8 million. However, the government also froze accounts connected to these donations.
To overcome these challenges, organizers sought refuge in Tallycoin, a crowdfunding campaign platform built on the Bitcoin blockchain, and successfully raised approximately $920,000 (22 BTC).
Q&A
Q: Why did the Canadian Federal Court rule against the government’s freeze of crypto donations?
A: The court found that the government’s actions did not meet the requirements of the Emergency Act and infringed upon provisions of the Canadian Charter of Rights and Freedoms.
Q: How did protest organizers find alternative platforms to raise funds?
A: After GoFundMe and GiveSendGo froze their accounts, organizers turned to Tallycoin, a crowdfunding platform built on the Bitcoin blockchain, to continue raising funds for their cause.
Q: What were the implications of the government’s freeze on fundraising platforms?
A: The ban affected both traditional bank accounts and online platforms, causing significant disruptions to the protesters’ ability to access funds and receive donations.
Future Outlook
This ruling sets an important precedent for the protection of civil liberties and the use of digital assets in protest movements. Governments worldwide will now need to reconsider their strategies for dealing with demonstrations that rely on cryptocurrencies and other decentralized financial tools.
Moving forward, it is crucial for governments to strike a balance between maintaining public order and respecting individual rights. Clear guidelines should be established to avoid potential overreach and ensure that the government’s actions align with legal standards and constitutional rights.
As the influence of blockchain technology and digital assets continues to grow, it is essential for lawmakers and policymakers to adapt to these emerging trends. By doing so, they can harness the potential of these technologies while safeguarding the principles of democracy and individual freedom.
Reference List
- Canadian Federal Court ruling against the government’s freeze of assets
- Report on the unfreezing process
- CCLA press release
- Canadian government’s ban and freezing of funds
- Tallycoin as an alternative platform for fundraising
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