Recently, the U.S. state of Wyoming came out in support of Bitcoins and other non-fiat currencies when, A bill meant to clarify the classification of cryptocurrencies was introduced by the State legislature. This is being considered as the next big step even though the bill is still to be passed by the houses. As reported by many leading crypto news channels, this bill places every non-fiat crypto assets into three broad categories.
These categories are digital consumer assets, digital securities and virtual currencies and also lays down that any asset falling in these above mentioned three broad classifications shall be considered as intangible personal property granting all the virtual currencies a similar treatment as the fiat currency.
As reported by Cointelegraph on Jan 18:
“The proposed bill also authorizes banks to “provide custodial services for digital assets consistent with this section upon providing sixty (60) days written notice to the commissioner. The drafted legislation also lets banks serve as qualified custodians in accordance with regulations put in place by the U.S. Securities and Exchanges Commission (SEC).”
The Bill defines Digital asset as a representation of economic, proprietary or access rights that is stored in a computer readable format, and includes digital consumer assets, digital securities and virtual currency. This in itself broadens the pre-existing definition of Cryptocurrencies around the world.
It also goes ahead to define Digital Consumer asset which is a digital asset that is used or brought primarily for consumptive, personal or household purposes and includes An Open Blockchain Token constituting intangible personal property as otherwise provided by law and any other digital asset which doesn’t fall within paragraph (iii) and (IV) of the definition clause of the above mentioned Bill (which defines Digital Security and Virtual Currency).
Virtual Currency has been defined in the Bill as a digital asset that is used as a medium of exchange, unit of account or store of value but at the same time, not recognised as legal tender by United States Government. Even though the definition looks restrictive but this can positively be regarded as a Big Step if this bill gets passed.
This Bill if passed shall be effective from July 1, 2019. As reported by Cointelegraph,
“Wyoming has recently seen a surge in blockchain- and crypto-related legislation entering its legal system.”
The State has been proposing bills on various regulatory factors of Blockchain and cryptospere and recently, they also proposed a bill allowing corporations to issue blockchain based token that represent stocks was introduced in Wyoming. This Bill came out on January 16 and was reported by all the major crypto news journals.
Catlin Long, was also seen posting a picture (on the Right) and as reported by other news channels, there has been a strong thought around it that Wyoming has recently passed two new house bills which aim to create a regulatory environment conducive to cryptocurrency and Blockchain Innovation. The State has also partnered with an Online retailer Overstock that targets land records and set to go all Blockchain from being a retail business.