A lawmaker from the U.S. state of Utah has introduced a bill that would stop blockchain firms from being classed as money transmitters.
The bill also aims to create a legislative group called the “Blockchain Pilot Project Evaluation Task Force” to study the potential of the technology in government services.
The 12-member task force would also recommend a pilot project using the technology in Utah at a state or municipal level and examine commercial applications of blockchain for "future economic development in Utah."
Finally, it will prepare a report, including any proposed legislation, to the Business and Labor Interim Committee and the Legislative Management Committee, on or before Nov. 30.
In a similar move, Pennsylvania clarified that crypto exchanges and service providers do not require a money transmission license to operate in the state in January.
However, North Carolina state took the opposite stance in 2016, passing an update to the state’s Money Transmitters Act that mandated that companies working with bitcoin and other cryptocurrencies obtain a money transmitter license.
Utah State Capitol image via Shutterstock
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is an award-winning media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. In November 2023, CoinDesk was acquired by Bullish group, owner of Bullish, a regulated, institutional digital assets exchange. Bullish group is majority owned by Block.one; both groups have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary, and an editorial committee, chaired by a former editor-in-chief of The Wall Street Journal, is being formed to support journalistic integrity.