Wyoming Passes Two New Blockchain Related Bills

Wilfred Michael 

Wilfred Michael

News reporter

20 February 2019,
17:35
Wyoming Passes Two New Blockchain Related Bills

Fresh from passing a bill that recognizes Bitcoin as legal tender, lawmakers U.S State Wyoming has pulled off another one by approving two bills related to the underlying blockchain technology.

The new bills — House Bill 74 and House Bill 185 — respectively cover the basics of blockchain compliance among industry participants and the concept of tokenized certificates for large corporations.

House Bill 74 Overview

As per a post published by Caitlin Long, Head of the Wyoming Blockchain Coalition, House Bill 74 will allow the “creation of special purpose depository institutions” to serve blockchain related businesses.

The bill provided evidence that until now, blockchain related business could not access FDIC insured banking services. These service providers believe that blockchain related businesses are at high risk because of their attachment to cryptocurrencies.

To relieve blockchain companies from such burdens, the new bill proposed the introduction of special purpose depository institutions to serve blockchain based businesses. These institutions would comply with all applicable Federal laws and meet other conditions such as not issuing loans and maintaining 100% of its deposit in reserve.

The newly passed bill will go into effect on October 1, 2019.

House Bill 185 Overview

With a focus on tokenization, HB 185 allows Wyoming based businesses to issue a portion or all of the company's shares in the “form of certificate tokens” using blockchain technology.

The bill will also allow digital transfer of these assets from the company to members of the public or between two individuals who have acquired the tokens.

Following its successful passage, HB 185 will become effective on July 1, 2019.

Finding a way

As we've reported in previous times, the delay in the regulation of cryptocurrency and blockchain technology on a federal level in the U.S have forced lawmakers in different states to seek separate solutions.

In Colorado, lawmakers are leading a charge to exclude cryptocurrencies from existing securities law. In Ohio, authorities have approved the use of Bitcoin for tax payments while in a new crypto tax force was unveiled in New York earlier this year.

 

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