When government officials discuss bitcoin and cryptocurrencies, they often seek to introduce new regulation. In the state of New Hampshire, however, things are done very differently. A new house bill passed the state house which makes virtual currencies exempt from money transmitter status. It also removes the decision making power from the bureaucrats and returns it to consumers. A more than welcome development, that much is certain.
NH Will Deregulate Bitcoin And Cryptocurrency
It is rather surprising to learn the state of New Hampshire is planning to deregulate bitcoin activity Even though cryptocurrency regulation has been introduced several years ago, that new law was not received in a positive manner. In fact, Poloniex, as well as various other exchanges, decided to halt operations in the state due to the new regulation.
Fast forward to this week, and the entire situation has been turned on its head. Rather than introducing stricter cryptocurrency regulation, the NH state house is looking to exempt everyone from virtual currency regulations altogether. House bill 436 has passed the state house and is well underway to get full approval in the coming weeks. It is evident regulating bitcoin is never the answer and only causes more problems in the long run.
It has to be said, house bill 436 touches upon some very interesting subjects. First of all, it removes the money transmitter license requirement which all bitcoin companies need to obtain these days. This process is expensive and takes a long time, without guarantee for approval. Secondly, bureaucrats in the state will no longer have a say in any of the decision-making processes associated with bitcoin. Instead, it is up to consumers and entrepreneurs to determine how they want to handle virtual currencies.
Turning this house bill into an actual law will not be done overnight, though. The fact it passes the house is a major victory, although it still needs to pass the senate and be signed by the state governor Many critics feel that passing the house was the largest hurdle to overcome, although it remains to be seen how the Senate feels about this change. Given bitcoin’s current popularity, deregulating this alternative form of finance may cause some heated debates.
It is evident that, once this house bill is turned into law, bitcoin adoption can thrive in New Hampshire. It may even lead to Poloniex and other exchanges making a return to the state, which would be the best possible outcome. It is also a positive development for alternative cryptocurrencies gaining traction in the state, including Dash and Ethereum. All things considered, this is by far one of the more positive developments regarding bitcoin regulation we have seen in some time.
This news comes on the heels of a Texas representative filing a motion to make owning bitcoin a constitutional right. Texas House Joint Resolution 89 is quite an intriguing document that would legitimize bitcoin in the Lone Star State. Moreover, it would keep bitcoin out of the crosshairs from regulators, as it would impede any government effort to interfere with the ownership and use of bitcoin. Exciting changes are ahead for the bitcoin ecosystem, that much is certain.
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