Policymakers are trying to address the rapidly developing regulatory landscape by introducing legislation to keep pace with technological advancement.
Some of these efforts are proactive and forward looking. Others can be detrimental to growth and U.S. competitiveness in a global marketplace. Often news headlines garner significant interest, while the details of the industry and its practices remain largely misunderstood.
States have been active in introducing legislation that: exempts digital tokens from certain laws such as money transmitter laws and blue sky laws, establishes regulatory sandboxes for innovators to test their products, and accepts virtual currency payments for taxes and fees.
Some states introduced legislation that was well-intentioned but could have benefitted from additional guidance from the industry.