California is inching forward towards legalizing the digital currency. The first significant measure was taken in September of last year wherein the state passed AB 786, a piece of legislation that makes it easier doing in-state business for Bitcoin startups. From that moment to now, a lot of changes have taken place.
Now, a bill dubbed as AB-129 Lawful Money, aimed to legalize cryptocurrencies in the state has been passed the Senate Banking and Financial Institutions Committee. With massive support from the committee members, it looks California is getting closer to legalizing Bitcoin and that would be the first of its sorts.
The last year in September, Bitcoin received massive support from the members of California Assembly wherein they passed the bill unanimously by a 75 to 0 vote. Now, it has to be seen what reaction the bill gets as the next step for it is to get a full vote in the state senate. Once it is obtained it could go to Governor Jerry Brown’s desk for approval to make Bitcoin legal.
Development, Distribution and Use of Bitcoin Will Become Legal
If the bill is approved by the governor and it becomes law, the development, distribution, and use of cryptocurrencies in California will become legal. This will not be just unprecedented but also help the digital currency get legitimacy and some other states in the US may follow the precedent set by California.
The legalization of Bitcoin and other digital currencies would greatly facilitate Bitcoin-related businesses such as the San Francisco-based Coinbase as these companies would be more comfortable operating in the state. It will also help Bitcoin companies flock in to California as they will have lot better working environment.
The Law will erase the Confusion and Conflict that Bitcoiners Facing
As expected bill AB-129 would remove any confusion that exists in California regarding the status of digital currencies and help create a regulatory framework for businesses that want to operate or accept Bitcoin. Once the bill is passed and become law, companies and individuals can apply for the so-called ‘Bit Licenses.’
There will be ripple effect of the law as well as it can give the green light for Silicon-Valley companies like internet giants such as Apple, Google, Facebook, eBay, and PayPal.
To contact the reporter of this story: Deepak Tiwari at firstname.lastname@example.org