As of Thursday, the Wyoming Senate successfully passed the SF125 bill. Also known as the Digital Assets bill, this recently passed law grants cryptocurrency holders property rights for direct ownership of cryptocurrency. Wyoming has become the very first state in the US to pass a clear regulatory framework for Bitcoin, Ethereum, EOS, Litecoin, XRP, and other alternative coins, paving the way for cryptocurrency investors, entrepreneurs and crypto-related business to grow in the state.
This recently passed bill will allow the people to hold cryptocurrency without the need of an intermediary to own digital assets, and clears the way for any bank to offer custodial services for the cryptocurrency.
Bill SF 0125 stated:
“AN ACT relating to property; classifying digital assets within existing laws; specifying that digital assets are property within the Uniform Commercial Code; authorizing security interests in digital assets; establishing an opt-in framework for banks to provide custodial services for digital asset property as directed custodians; specifying standards and procedures for custodial services under this act; clarifying the jurisdiction of Wyoming courts relating to digital assets; specifying applicability; authorizing the promulgation of rules; and providing for an effective date.”
According to the United States legal procedure, individual states have jurisdiction over the property rights within their boundaries and hence, the legislation will differ between each state.
This means that companies will now have free reign within the state they’ve to decide to start their business, depending on the regulation available to them. Although, since Wyoming seems to be the best possible option due to this recently passed bill in the US, blockchain and cryptocurrency companies may resettle to this state.
Co-Founder of the Wyoming Blockchain Coalition, Caitlin Long is expecting this new legislation to bring in fresh blockchain companies and talent, causing Wyoming to become the frontrunner in the industry with a clear regulatory framework designed to foster innovation and spur adoption for cryptocurrencies, blockchain-bases business, trading platforms, and crypto-custodial services.
1/ BOOM! #Wyoming just recognized clear, direct property rights for #digitalassets by passing SF125! This means #blockchain cos will prob want to apply WY law to your contracts, domicile here, &/or have a physical presence here. Thx again to the army of ppl who helped over months pic.twitter.com/I4E3GfPZbC— Caitlin Long 🔑 (@CaitlinLong_) February 14, 2019
The bill is slated to come into complete effect during July 1st, Leading to the support of advancement for tokenized securities.