Ohio Introduces Bill to Protect Digital Asset Rights and Exempt Crypto Transactions from Extra Taxes

A bill aimed at safeguarding digital asset rights and prohibiting extra taxes on crypto payments has been introduced in the Ohio House of Representatives. Dubbed the Ohio Blockchain Basics Act, the bill outlines protections for activities like self-custody, mining, and staking while also exempting certain crypto transactions from money transmission licensing requirements.

Key Provisions of the Bill

The Ohio Blockchain Basics Act was introduced on February 24 by Representative Steve Demetriou and co-sponsored by fellow lawmakers Tex Fischer, Brian Lorenz, Ty D. Mathews, Riordan McClain, and Josh Williams. The bill prevents state and local governments from imposing additional taxes, fees, or charges on digital assets used as a method of payment, essentially treating them the same as traditional fiat transactions.

However, crypto transactions would still be subject to standard taxes, such as state and sales taxes, just like any other payment made with traditional fiat currency.

Protecting Digital Asset Rights

Regarding digital asset rights, the bill mandates that individuals have the freedom to self-custody their digital assets using hardware or self-hosted wallets. It also protects the right to participate in crypto staking and crypto mining activities without the need for a money transmission license, as long as local zoning regulations are followed.

Further, it ensures that no state agency or political subdivision may prohibit individuals from accepting digital assets as payment for goods and services.

Additional Provisions

The bill allows residential crypto mining in compliance with local ordinances and ensures that zoning changes cannot unfairly target mining businesses operating in industrial zones.

The legislation also calls for Ohio’s state retirement funds to assess the potential risks and benefits of investing in crypto exchange-traded funds. The findings from this evaluation must be reported to the General Assembly within a year, highlighting the state’s growing interest in exploring digital asset investments for institutional portfolios.

Ohio’s Growing Interest in Crypto

Lawmakers in Ohio have constantly pushed for crypto-related bills over the past months, including two bills related to cryptocurrency reserves. These bills demonstrate the state’s growing interest in exploring digital asset investments and regulating the crypto industry.

Stay up-to-date with the latest news on the crypto industry and digital asset investments on Global Crypto News.

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