Several Wyoming State Representatives have introduced an amendment to the Wyoming Money Transmitter Act that would ease reserve requirements on digital currency business operating in the state.
HB0026, if passed, would put digital currency instruments such as Bitcoin under the category of ”permissive investments”. Under current legislation, businesses that deal in virtual currencies must maintain double reserves for each transaction.
Because of these requirement, big digital currency outfits such as Coinbase have refused to conduct business in the state of Wyoming.
Tyler Lindholm, the bill’s main sponsor, understands that the current statutes make it very unattractive for cryptocurrency-based business to operate in the state, “And for that reason, several institutions have refused to do business in the state of Wyoming.”, said Lindholm in a Wyoming Tribune Eagle report. Lindholm is hopeful that HB0026 will entice big cryptocurrency firms to the the state.
Lindholm’s bill would essentially level the playing field, “In my view, it needs to be treated the same as a ruble or a Euro, or any other currency.”, said State Senator Chris Rothfuss, one of the co-sponsors of HB0026, in an interview with the Wyoming Tribune Eagle.
The mechanics behind digital currencies can be difficult to explain to non-technical people, and several digital currency bills have failed to pass in other states as a result.
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