Signed by Governor Andy Beshear

Vote Smart's Synopsis:

Vote to pass a bill that authorizes the use of bitcoin (crypto) without restrictions in Kentucky.

Highlights:

• Authorizes individuals to accept digital assets for payment for legal goods or services in Kentucky (Sec. 2). 

• Defines “digital asset” as anything that exists electronically and has value, including all of the following (Sec. 1):

• Virtual currency;

• Cryptocurrency; and

• Other electronic assets, including stablecoins, fungible tokens, and non-fungible tokens.

• Authorizes individuals to use a “wallet”, meaning a digital interface or physical device that holds digital assets (Sec. 2). 

• Specifies that digital asset payments are subject to the same taxes as payments made with U.S. dollars (Sec. 2).

• Specifies that the provisions of this bill do not require any individual to accept digital assets for payment for legal goods or services (Sec. 2). 

• Authorizes the operation of a “node”, meaning a specialized type of computer, to connect to blockchains or transfer digital assets on the blockchain (Sec. 3). 

• Defines “blockchains” as a secure, shared record-keeping system used to record transactions using cryptography (Sec. 1). 

Full Bill Text