This past March, Wyoming Governor Matt Mead signed four legislative acts into effect supporting blockchain technology. To further facilitate regulation, the state also formed a Blockchain Taskforce, according to John Spina from Jackson Hole News & Guide. Wyoming breaks new ground, along with a handful of other states, (including Arizona and Tennessee), as they pave the way for blockchain regulation. At the federal level, comprehensive blockchain regulation remains to be seen.
Here is a quick-and-dirty breakdown of what the legislation means for the blockchain space:
1. HB 70: Exempting types of tokens from state securities laws
Utility tokens, in the state of Wyoming, are an asset class on their own, which can be redeemed for goods and services. Additionally, a person or entity that sells or exchanges a token is not subject to specific securities and money transmission laws
2. Permitting businesses to use blockchain for data-keeping
Tennessee is another state that has permitted businesses to use blockchain technology for the maintenance of corporate record-keeping with electronic keys, network signatures and digital receipts.
3. HB 19: Cryptocurrency trading oversight
The State of Wyoming exempts individuals trading virtual currency from money transmission laws
4. SF 111: Cryptocurrency exemption from property tax in the state of Wyoming
One immediate practical application for the state of Wyoming is the traceability of its livestock and agricultural exports. With RFID chips on each cattle, all parties within the supply chain or even consumers will be able to trace pasture-to-plate. In fact, BeefChain.io is currently connecting Wyoming’s premier beef producers with beef distributers all over the world. According to a report from Bloomberg, two to three businesses have been registering in the state every day since legislation has passed. This can be attributed to the pro-business and anti-bureaucracy environment provided by the new legislation, according to James Row from Wyoming Blockchain Coalition.