Bitcoin bill that has recently been approved by North Carolina Senate was signed into law by North Carolina Governor Pat McCrory. The law now expands the state’s Money Transmitters Act to include activities related to bitcoin and other cryptocurrencies.
Introduced last year, the bill defines virtual currency as “a digital representation of value that can be digitally traded and functions as a medium of exchange, a unit of account, or a store of value but only to the extent defined as stored value under G.S. 53-208.42(19), but does not have legal tender status as recognized by the United States Government”.
Last month, the House of Representatives of North Carolina approved the amendment of Money Transmitters Act by a 117-to-1 vote. The amendment to the bill seems to be a judicious measure to regulate digital currencies as well as bitcoin and blockchain industry in particular.
Perianne Boring, the founder and president of the Chamber of Digital Commerce (CDC), a trade association and advocate for bitcoin and the blockchain industry, says that “the passage of the act into law is good for business, jobs and innovation in North Carolina.”
Indeed, many in bitcoin community believe that passing a bitcoin law is a considerable step forward for the digital currency ecosystem. Perianne Boring said that the bill provides an alternative, legislative-based model to industry-specific rule. “The fact that this went through the legislative process is a big step forward, the bill also adds more clarity than any other state by a long shot”, he said.
Carla Reyes, an associate at Perkins Coie LLP and an incoming law faculty member at Stetson University College of Law, also speaks for the law saying that it reflects ongoing efforts of the Uniform Law Commission and previous work by the Conference of State Bank Supervisors.
“The importance of clarity provided through legislative action for members of the industry cannot be overstated, and the act offers both that clarity and other important updates to North Carolina money transmission law,” said Reyes.
The approval of bill means better regulation of virtual currencies including bitcoin. McCrory’s representatives reveal that he has altogether signed 16 bills into law. Some of the bills set monetary liability limits on contractors who are involved in information technology work for the state and strive to provide certain Medicaid services for dependents of military members if the military member is assigned out of state. There are 35 more bills that must be signed or vetoed until midnight July 31.