US Cryptocurrency Regulations (Other Than New York and Wyoming)
In 2020, New York and Wyoming received media attention for their crypto legislation, paving the door for additional states in the United States to address their blockchain policies.
While New York and Wyoming may have enacted the most widely discussed crypto regulations in the country, many other states have updated, or are in the process of updating, their money transmitter laws to include blockchain technology, have formed working groups for research, or have created a regulatory sandbox to test innovative technologies.
Note: This page does not list every cryptocurrency regulation that has been adopted in each state. The states listed here were chosen at random to provide examples of blockchain-related laws in the United States.
In 2017, Arizona passed H.B. 2417, the state’s first blockchain law. Smart contracts, which are constructed of self-executing code depending on predefined criteria on a blockchain, allow for the creation of enforceable legal agreements. The enforceability of smart contracts may become the topic of future legal conflicts across the country as blockchain and artificial intelligence (AI) become more incorporated into apps and other systems. Tennessee enacted S.B. 1662, a comparable bill, in 2018.
In addition, Arizona argued in H.B. 2602 that municipalities and cities cannot restrict individuals from running blockchain nodes in their homes. In Arizona, node operators are protected by this statute.
Colorado has also enacted crypto-related legislation. The state passed 8 CCR 1505-6 to allow political candidates to accept bitcoin donations for their campaigns (up to the acceptable individual limit). Donating with cryptocurrencies can provide greater privacy for donors; nonetheless, Colorado politicians are unable to accept anonymous gifts of more than $20 USD.
Minnesota may adopt the opposite stance as Colorado and outright ban bitcoin donations. The bill prohibiting politicians from accepting cryptocurrency donations, H.F. 2884, has been proposed but not yet voted on.
Delaware was one of the first states in the United States to pass crypto legislation. In 2017, it enacted Senate Bill 69, which allows businesses to use blockchain technology “for the development and maintenance of corporate records, including the corporation’s stock ledger.”
Senate Bill 69 allows for the legal incorporation of decentralized autonomous organizations, often known as DAOs, in the United States.
The Future of U.S. Cryptocurrency Regulations
While states like New York and Wyoming have taken the lead, crypto rules and regulations are now being created and implemented on an organic basis across the United States — and this momentum could eventually lead to a national framework.