The Legislative Body Of California Has Adopted A Law Regarding Blockchain

Despite its historical dominance in the technology industry, California has not very quickly moved to creating legislation to promote blockchain technology. Nevertheless, on Monday AB2658 cleared the final legislative obstacles. Adopted by both chambers and having corresponding amendments, the law will now be sent to the governor for approval.

In recent years, the states of Colorado, Delaware, Nevada, Ohio, Tennessee and Wyoming have adopted legislation designed to attract and promote the business of blockchain.

These laws are usually divided into several broad categories: the ban on taxation of blockchains (Nevada and Wyoming), the amendment of the law on electronic transfers (Delaware and Ohio) and the creation of a working group to report on this issue (Connecticut).

The California AB2658 falls into the latter category. The law, which was submitted to the legislature in February, calls for the creation of a working group that will be tasked to present to the legislature “the potential uses, risks and benefits of using blockchain technology by the state government and California enterprises.”

The group will consist of 17 members, the government and the private sector, and will finalize its report in July 2020.