State Senator Barry Finegold Calls For Regulations On Cryptocurrency

Below is a press release from the Office of State Senator Barry Finegold, who represents Wilmington:

BOSTON, MA — The Massachusetts Senate Joint Committee on Financial Services and Joint Committee on Revenue recently considered legislation filed by Senator Barry Finegold to address the rapidly developing policy frontier of cryptocurrency policy.

“Cryptocurrency is here. We can and should make wise and careful use of this new financial tool”, said Senate Economic Development Chair Barry Finegold. “We have an obligation to protect the wallets of our residents and to responsibly manage our finances as a Commonwealth – these bills can help us make progress on both fronts”.

This month, two joint committees heard cryptocurrency legislation sponsored by Senator Barry Finegold.

S.757, An Act establishing regulations on certain virtual currencies for fraud prevention, heard by the Joint Committee on Financial Services on October 7th.

To protect consumers, this Act requires virtual currency kiosk operators to be licensed as money transmitters. Operators are required to clearly disclose fees, risks, and policies, and to use blockchain analytics software to help detect fraud. The proposed legislation holds operators responsible for fraudulent withdrawals under appropriate circumstances.

S.2008, An Act allowing for fiscal resilience through strategic investments in stable digital financial assets, heard by the Joint Committee on Revenue on October 7th.

This Act authorizes the General Court to permit the State Treasurer and the public pension fund to invest in stable digital financial assets, like bitcoin, in order to diversify and strengthen the Commonwealth’s investment strategy. This bill also clarifies that virtual currencies should be treated comparably to traditional currencies for taxation purposes.

These bills each await a committee report. If reported favorably, they would be assigned to a further Senate committee, a critical next step in reaching the Senate floor for debate.

Like Wilmington Apple on Facebook. Follow Wilmington Apple on Twitter. Follow Wilmington Apple on Instagram. Subscribe to Wilmington Apple’s daily email newsletter HERE. Got a comment, question, photo, press release, or news tip? Email wilmingtonapple@gmail.com.