Senate of Utah May Offer Reprieve from Money Transmitter Act for Blockchain Tech Companies
Blockchain technology is still trying to find its place in the US economy, and there has been many regulations that outline what it can and can’t do. Tax laws and other regulations have been customized to promote innovation, but a new bill has been brought to the Utah Senate that would provide them with another benefit.
Daniel Hemmert, a Republican senator in the state, filled senate bill 213. This bill specifically states that the individuals who help with the creation of certain blockchain products, along with their trade or sale, would not have to abide by the regulations of the Money Transmitter Act. To facilitate the further potential of blockchain technology within the government, the bill also opens the door for the formation of the Blockchain Pilot Project Evaluation Task Force.
This new task force is made with 12 members, which would also stir the start of a pilot project within Utah. This project would allow the group to see how the technology could be used on the municipal level, and it would bring forth new commercial applications of blockchain that could further the state’s economy. By November 30th, the group is required to submit a report for any further legislation to the Business and Labor Interim Committee and the Legislative Management Committee.
Other states have taken to changing their own policies around crypto exchanges and blockchain as well. Pennsylvania, for example, already put a policy in place in January that does not require a money transfer license for crypto exchanges and service providers. North Carolina still has a policy in place that was implemented in 2016, which said that these entities are required a license instead.