SB 692
Creates new provisions of law relating to virtual currency
Sponsor:
LR Number:
2721S.01I
Last Action:
4/6/2023 - Second Read and Referred S Insurance and Banking Committee
Journal Page:
Title:
Effective Date:
August 28, 2023

Current Bill Summary

SB 692 - This act creates new provisions relating to virtual currency.

LIMITATIONS ON REGULATION OF DIGITAL ASSET MINING (Section 67.2060)

The act creates the "Digital Asset Mining Protection ACt" which prohibits the state and political subdivisions from the following actions with respect to digital asset mining:

· Prohibiting the running of a node or a series of nodes for the purpose of home digital asset mining at a private residence; or

· Prohibiting a digital asset mining business from operating in any area zoned for industrial use.

The act prohibits only political subdivisions from the following actions with respect to digital asset mining:

· Placing any specific limit on sound decibels generated from home digital asset mining that is more restrictive than other limits set for sound pollution enforced by the politic subdivision;

· Imposing any requirement on a digital asset mining business that is not also a requirement for data centers in its jurisdiction; and

· Changing the zoning of a digital asset mining business without satisfying proper notice and comment requirements.

The Public Service Commission is prohibited from establishing a

rate schedule for digital asset mining that creates discriminatory rates for digital asset mining businesses.

The act exempts anyone engaged in home digital asset mining or a

digital asset mining business from laws regulating money transmission.

TAX EXEMPTIONS (Section 137.100)

The act exempts virtual currency from taxation for state, county, or local purposes.

REGISTRATION REQUIREMENTS (Sections 324.1160, 361.700, and 361.705)

The act creates registration requirements for developers or sellers of blockchain tokens. Specifically, before making an open blockchain token available for sale, the developer or seller of a token, or the registered agent of the developer or seller, shall

electronically file a notice of intent with the Secretary of

State (SOS) and pay a filing fee of $1,000 to offset the costs of administering this section. A form shall be made available by the SOS for this purpose, including information as stipulated in the act, and a secure electronic version of the form shall be conspicuously posted on the public website of the SOS.

The buying, selling, issuing, or taking custody of

payment instruments or stored value in the form of virtual

currency or receiving virtual currency for transmission to a

location within or outside the United States by any means is exempted from the Sale of Checks Law, as regulated by the Division of Finance.

This act is identical to HB 764 (2023) and similar to provisions in SB 536 (2023).

SCOTT SVAGERA

Amendments

No Amendments Found.