Proponents of the technology believe that in the future, crypto – and the underlying blockchain technology – will revolutionize everything from the way we pay for products and services to the way companies store and process data. Many experts believe that blockchain technology will disrupt several industries, including music, fintech, manufacturing, charity work, and more.
However, many skeptics still claim that unregulated cryptocurrencies could trigger another financial crisis and are pushing for stricter regulation. Governments have reacted to these concerns by coming up with various laws and regulations to help manage the emerging tech. At Insider we’ve discussed why more regulation should be welcomed within the industry.
So while the landscape remains largely unregulated, several US states have already passed laws relating to blockchain and crypto in 2019. Below are several such regulations:
House Bill 1944 (Arkansas)
House Bill 1944 defines different concepts, including blockchain technology, blockchain distributed ledger technology, and smart contracts. The regulation states that records, contracts, and signatures secured via blockchain technology will be considered in electronic form. The regulation also states that smart contracts should be treated as commercial contracts.
SB 213 (Utah)
SB 213 defines different terms related to blockchain technology. The bill exempts persons who are directly involved in creating, selling or exchanging certain products that use blockchain technology from Section 7, Chapter 25 of the Money Transmitter Act.
House Bill 185 and House Bill 74 (Wyoming)
The state of Wyoming passed House Bill 185 in February this year. The bill authorizes businesses to issue certificate tokens against stock certificates. The HB 185 lays the framework for storing certificate tokens on a secure database or a blockchain.
House Bill 74 is a compliance-related bill that urges the creation of special purpose depository institutions. The bill includes several regulations focused on governing special purpose depository institutions and prohibits them from making loans and requires that they maintain 100 percent of their deposits in reserves. Special purpose depository institutions would be allowed only to serve businesses and must abide by federal regulations.
SB 136 (Maryland)
The bill authorizes the use of storage devices, networks, or database to store certain records/information related to businesses. The bill directs corporations to convert their records maintained in a certain manner into an understandable and legible format when requested by a person authorized to inspect those records. Businesses can use electronic transmissions to make requests.
HB 1045, HB 1048, and HB 1196 (North Dakota)
HB 1045 defines blockchain technology, smart contracts, electronic transactions, number of shareholders, and series limited liability companies. The bill also touches topics such as filing annual reports by ranching or farming businesses, share certificates, voting trusts, and corporate voting list.
HB 1048 covers the use of distributed ledger technologies. The bill urges the Department of Information Technologies to conduct an in-depth study on distributed ledger enabled platform technologies, such as blockchain, and come up with different applications related to data transfer and storage.
HB 1196 defines blockchain technology for special purposes.