Blockchain Technology Bill passed by California Legislature
California has long been hailed as the apex of technology, amassing a collective GDP of $2.7 trillion, standing 5th in the world. Hence, it bears no surprise that the state has ventured into the study of blockchain technology. Earlier in the week, Bill AB2658 passed its final legislative obstacles. It was approved by both the houses of the Legislature, subject to the required amendments and will now be sent for the Governor Jerry Brown’s approval.
Other states have followed the path of California to become the next Silicon Valley, states such as Ohio, Delaware, Tennessee, Wyoming and Colorado have also had blockchain related legislation pass their houses.
Blockchain bills in the aforementioned states can be encompassed in three categories. The prohibition of taxes on the blockchain, Nevada, and Wyoming, the state’s electronic transfers law or corporate code being amended to facilitate the blockchain, Ohio, and Delaware, and/or the establishment of a working group to create a report on a blockchain technology topic, Connecticut. The last category is where California lies.
The Bill was put forth back in February 2018, authorizes the setting up of a working group solely tasked with analyzing “the potential uses, risks, and benefits of the use of blockchain technology by the state government and California-based businesses.”
Both the public and the private sector will have a total of 17 members in the group, who are required to complete and submit a report by July 2020.
Also under consideration is a bill that would put California in the second category, with Ohio and Delaware, and would amend its corporate code. The bill entails the use of blockchain for validating corporate records and was subjected to a third reading before the State Assembly three weeks ago. Another bill requiring specific businesses to obtain licenses for cryptocurrency was also considered, however it didn’t pass.
Image via Shutterstock
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