'Blockchain-friendly' proposal advances in North Carolina

Crazy Review : Blockchain industry representatives submitted a proposal to the North Carolina Senate Finance Committee, which is currently the most favorable proposal for blockchain. It mainly discussed the remittance bill and the changes to the legal framework. Perianne Boring, chair of the Digital Chamber of Commerce Industry Initiative Group, believes that the proposal provides a new template for North Carolina to regulate blockchain. If the proposal is passed by the Senate, it will become a formal law.

Translation: Nicole

Today, blockchain industry representatives submitted a proposal to the North Carolina Senate Finance Committee, which they believe is the most favorable proposal for blockchain at the state legislative level.

Today's discussion centered on the remittance bill and changes to the legal framework that would alter regulations issued last year by the North Carolina Office of the Commissioner of Banks (NCCOB).

Senate Bill 680, introduced by Senator Rick Gunn, would change the definition of remittance to include any entity that “maintains control” of digital currency on behalf of another person, and would bring more changes to state law. The law would also create exemptions for non-financial blockchain service providers and other industries with business models that fall outside the traditional definition of money transfer.

Rick Gunn

During today’s event, Assemblyman Gun stated the purpose of the law was because it is related to digital currencies and that blockchain technology’s time has “come” in North Carolina.

The MP told the gathering:

“We know that digital money transmitters are emerging and in the process of development, and that’s an area of ​​innovation, and I think it’s our responsibility to allow them to flourish.”

In an interview, Perianne Boring, chair of the Digital Chamber’s industry advocacy group, called the proposal the “most comprehensive and business-friendly” initiative at the national level.

Perianne Boring

Boring believes the proposal provides a new template for North Carolina to regulate blockchain, prioritizing collaboration when developing rules.

She said:

"We think North Carolina deserves praise for this proposal. It's more mature than New York's legislation, and it's the way states should regulate their industry."

The meeting was attended by representatives from the blockchain industry, including the Chamber of Digital Commerce, IBM, and law firm Perkins Coie. Discussions reportedly focused on requirements for fund services businesses, the legal status of digital currencies, and the need for North Carolina to be a leader in technological innovation.

Participants said that in the next discussion, SB 680 will be put to a formal Senate vote and if passed will become official law.

Corporate Benefits

However, because the proposal is designed specifically for customer-facing businesses that transact in digital currencies, IT giant IBM, which was present at the meeting, supported the potential business use cases it believes would be driven by the proposal.

Jerry Cuomo, vice president of blockchain technology at IBM, told CoinDesk that he believes the proposal is important to provide transparency to blockchain and that IBM will continue to play that role and work in unison with the industry.

Jerry Cuomo

Cuomo said:

“Virtual currencies are digital assets. This is a fancy way of saying blockchain. The topic of digital assets or shared ledgers must be discussed at the UN General Assembly.”

Cuomo said IBM plans to continue educating U.S. regulators and lawmakers, responding to concerns that the country may be falling behind by providing a more sophisticated legal environment for startups and businesses.

The topic has gained traction as the blockchain industry continues to engage with regulators following criticism that New York’s BitLicense is overly broad and heavy-handed.