US State Proposes Bill To Prevent Bitcoin From Being ‘Money’
Dennis Porter, CEO and co-founder of Satoshi Act Fund, shared a shocking news via Twitter today that could be interpreted as a massive attack on Bitcoin in the United States of America. Concierge he wrote that the state of South Dakota is trying to pass a law that would exclude Bitcoin from the definition of “cash” while providing a safe path for CBDCs.
“This law would ensure that only governments can create ‘money’, which at first glance would exclude all digital assets,” says Porter, who explained that the bill states that no medium of exchange can be considered “money”. unless it is “approved or adopted by the government” before it exists as a medium of exchange. The bill says:
Money means a medium of exchange currently authorized or adopted by a national or foreign government. The term includes a monetary unit of account established by an international organization or by an agreement between two or more countries.
The term does not include an electronic record which is a medium of exchange registered and transferable in a system that existed and operated for the medium of exchange before the medium of exchange was authorized or adopted by the government.
What’s worse, according to Porter, is that attempts are being made to apply this policy in 21 different US states. “There is apparently an aim to build a bull of pro-CBDC states that also exclude digital assets like Bitcoin from the definition of money,” Porter interpreted the law, showing the map below of US states that could follow the bill.
Is the account a threat to Bitcoin?
Yaël Ossowski, deputy director of the Center for Consumer Choice (CCC) commented on the South Dakota push, saying it is a standard wording that already exists in other states. Still, the bill is a threat to Bitcoin, he added:
It is based on the model policy of the Association of Banking Supervisors, who managed to conspire with the Uniform Law Commission to make this suggestion. It will have minimal teeth, but it is still a threat to BTC.
Andy Roth, president of the State Freedom Caucus Network, also acknowledged that this is a “big deal”. The Uniform Commercial Code (UCC) is a set of commercial laws governing contracts and financial transactions that apply in all states. Roth went on to explain:
UCC is creating the framework for CBDCs to be accepted (and Bitcoin denied) via Amazon and all other retailers. All digital transactions. This must be stopped. The good news is we still have a chance to kill this in the other 49 states.
It is worth mentioning, however, that Bitcoin is gaining increasing support in several US states, and the Satoshi Act Fund has contributed greatly to this. As Bitcoinist reported, Texas and New Hampshire have released Bitcoin-friendly laws, as has Montana, among others.
At press time, Bitcoin price was sitting at $23,397, struggling to hold the key support at $23,350.
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