New Texas Bill Proposal Would Make Cryptocurrency Identification Authentication Mandatory

Within the United States, various states have been working to determine the best way for them to handle cryptocurrencies and blockchain technology. Now, Texas is coming in with their own regulations with a new bill proposal.

Phil Stephenson has chosen to make a request to the state of Texas that would require anyone who is the recipient of cryptocurrency payments to identify who has sent it.

As reported to The Block, the only exception for this policy is if a “verified digital currency” sends it. This term refers to any digital currency that has both the sender’s and receiver’s identity revealed prior to gaining access to another person’s digital wallet. While the proposal outlines the definition of this term, it does not provide any examples.

As part of the bill, Stephenson clarifies that Texas Department of Banking, Credit Union Commission, Texas Department of Public Safety, and State Securities Board will need to work together to encourage the use of these digital currencies.

Each of the agencies will need to provide collaborative tools that describe which cryptocurrencies are acceptable. They will also need to provide education to law enforcement on digital currencies, ensuring that they know how to handle them under Texas law.