Rewritten Article
Democrats' Online Fundraising Platforms Face Scrutiny from Trump Administration
Here's the Skinny
President Trump has set his sights on Democratic campaign funding sites, starting with ActBlue, the main fundraising engine for the Democratic Party. On Thursday, an executive order was signed, kick-starting an investigation into this platform.
The order, now posted on the White House website, raises the red flag about foreign nationals potentially contributing to American elections via fundraising platforms like ActBlue. New Attorney General, Pam Bondi, and Treasury Secretary, Scott Bessant, are given the green light to delve into these sites, looking for signs of misconduct within. The order states:
...we've seen troubling evidence suggesting that online fundraising sites have played a role in schemes to launder excessive and prohibited contributions to political candidates and committees. Specifically, there are concerns that malign actors are evading Federal source and amount limitations on political contributions by splitting large contributions into smaller donations, falsely attributed to numerous individuals. Plus, they may be using fake accounts or gift cards to avoid detection.
The order instructs Bondi and Bessant to investigate these platforms using all available legal means. Gizmodo contacted the Trump administration seeking further information about the probe.
In addition, the order makes reference to a previous investigation by House Republicans that allegedly uncovered evidence of foreign-based fraud on ActBlue.
It's worth noting that the GOP has its own fundraising operation called WinRed, established during Trump's first term. Launched in 2019 as a fundraising tool, WinRed aimed to compete with Democrats' ActBlue. Despite the Trump administration's efforts to push Republicans towards the platform, it hasn't seen the same level of success as its counterpart. In fact, it has faced criticism even from within the Republican party. The platform has also faced scrutiny earlier, having been investigated by several state attorneys general for questionable tactics used to encourage donations.
Reality Check
- ActBlue on Democratic Rolodex: ActBlue serves as a significant fundraising machine for Democrats, generating millions in donations for campaigns spanning the political spectrum. In the first quarter of 2025, it gathered over $400 million[1].
- Security Stance: Despite concerns, ActBlue claims it has taken proactive steps to combat fraud, implementing measures to detect and prevent foreign activity[1].
This investigation into ActBlue signals a broader concern about election integrity and the potential influence of foreign actors through digital funding platforms. Stay tuned for more updates.
Enrichment Insights
Background
ActBlue is an online fundraising platform primarily used by Democrats for political contributions. Lately, it has drawn attention due to concerns regarding foreign influence in American elections.
Federal Laws and Concerns
- Foreign Contribution Laws: Federal law bars political contributions by foreign nationals (52 U.S.C. 30121 and 30122) and outlaws donations made in another's name[1].
- ActBlue Conundrum: Reports suggest that platforms like ActBlue could be instrumental in facilitating straw donor schemes and foreign contributions. In straw donor schemes, large contributions are broken down into smaller ones falsely attributed to multiple individuals, often done covertly using prepaid cards or gift cards[1][2].
Investigation and Developments
- Memorandum: On April 24, 2025, President Donald J. Trump issued a Presidential Memorandum ordering the Attorney General to investigate allegations of unlawful straw donor and foreign contributions through online fundraising platforms like ActBlue[2][3].
- Congressional Investigations: A recent House probe revealed that ActBlue identified at least 22 major fraud campaigns, with nearly half having foreign connections. During a 30-day period in the 2024 election cycle, over 200 donations originated from foreign IP addresses using prepaid cards[1][2].
Political Responses
- Democrat's Reaction: Democrats are preparing for a long-haul battle against ActBlue, viewing the investigation as an attempt to weaken their fundraising infrastructure and access to democratic processes[3].
- Republican Opinion: Republicans argue that the investigation is all about securing election integrity and preventing foreign meddling in U.S. elections[4].
- Gizmodo reported that President Trump has launched an investigation into Democratic campaign funding site ActBlue, which is a significant technology for fundraising within the Democratic Party.
- The investigation was spurred by concerns about foreign nationals potentially contributing to American elections, specifically through the use of online fundraising platforms.
- The tech industry and politics have intertwined in this case, as the order allows newly appointed Attorney General Pam Bondi and Treasury Secretary Scott Bessant to investigate these platforms for signs of misconduct.
- In the future, the outcome of this investigation could significantly impact policy-and-legislation, particularly in terms of tech regulations related to campaign finance and election integrity.
- The more general news landscape will likely follow this investigation closely, as it could potentially malign ActBlue and other similar platforms, affecting the overall future of tech-based fundraising in the United States.
- While the Republicans have their own fundraising operation, WinRed, which faced scrutiny and criticism within their own party for questionable tactics, the current focus remains on ActBlue and concerns about foreign influence in American elections.