The new bill would allow crypto banks to get faster approvals for conducting business in Wyoming.
As the United States continues to weigh out the best ways to include crypto businesses through an infrastructure bill, the state of Wyoming has taken proactive measures to attract Bitcoin (BTC) miners and other crypto businesses to its local jurisdiction.
Wyoming’s crypto-friendly notion comes into light as the state has passed more than 24 bills related to blockchain technology. A recent CNBC report shows that the state has now approved a bill that will allow for “quick approval for new crypto banks.”
Wall Street veteran Caitlin Long, CEO of digital asset bank Avanti, stated that Wyoming’s latest bill creates a welcoming legal environment. She added:
“[Wyoming’s bill] just clarified that this industry is lawful and does exist in a recognized manner.”
However, Long shared her concerns about the gray areas of crypto regulation in other U.S. states. Comparatively, Wyoming has not imposed taxation on personal crypto incomes in addition to providing cheap energy resources and a fast internet connection, which is ideal for mining Bitcoin and other cryptocurrencies.
Wyoming’s Cynthia Lummis was among the U.S. senators who proposed crypto amendments to the infrastructure bill. CNBC quoted Senator Lummis saying:
“The state [of Wyoming] is bringing in more revenue and tech jobs thanks to crypto. It could be a sandbox in action for [Washington] DC.”
Citing long delays related to crypto reforms, Lummis also highlighted the risk of crypto businesses “burning through the capital” to get a nod for starting operations. Following suit, other U.S. states, including Texas, Nebraska, North Dakota and Illinois, are now passing their own crypto-friendly bills.
The report also stated that leadership of crypto companies, such as Kraken and Avanti, believe that the developments led by Wyoming will further pressure other states and the federal government to innovate along similar lines.
Currently, Texas and Wyoming are leading the race to attract crypto banks and Bitcoin miners that have been recently banned from operating in China.
Related: White House supports only minor changes to crypto tax proposal
While the infrastructure bill, HR 3684, proposed a framework for crypto businesses to operate within the U.S., senators opposed imposing regulations around crypto taxes. If amended, the bill could allow many crypto-related businesses to bypass extensive reporting requirements.
On Aug. 6, U.S. Treasury Secretary Janet Yellen objected to the infrastructure bill amendment proposal. Parallelly, the White House announced accepting the amendments suggested by senators Rob Portman, Mark Warner and Kyrsten Sinema, excluding only proof-of-mining and sellers of hardware and software wallets from tax reporting.
