House Bill 690, “No Cryptocurrency Payments to State,” would prevent North Carolina citizens from paying the state using bitcoin.
The North Carolina General Assembly introduced a bill that would ban the use of bitcoin as payment to the state or state agencies.
According to a source familiar with the matter, the original intention of introducing the bill was to prevent the use of CBDCs in the state – however, the wording of the bill encompasses cryptocurrencies and bitcoin in the instead of CBDCs, and appears to be a direct anti-bitcoin and cryptocurrency usage bill.
The law projectwhich bears the short title of “No Cryptocurrency Payments to the State” and is sponsored by House Representatives Warren And brodygives two definitions.
It defines cryptocurrency as “a digital or virtual currency that relies on cryptography to effect transfers and a decentralized network to record transactions”, and a state agency as “any institution, office, board, commission , officer or political subdivision of the State”.
The bill then proclaims that “no state agency shall accept payment using cryptocurrency” and that “the law is effective when it becomes law.”
Although short, the bill would be a step in the wrong direction for the state, which has recently seen other laws advanced to stop bitcoin mining operations in the county encompassing the city of Asheville.
The source familiar with the matter said it is likely that this bill will be challenged and efforts to educate lawmakers will likely take place.