Arizona Law Enforces Smart Contracts
Arizona lawmakers have made a recent push to make the state one of the first blockchain friendly states in the U.S. The state Senate already passed a bill sponsored by state Republican Jeff Weninger that will enable Arizona residents to pay taxes in the form of cryptocurrencies. This is the first step in a positive direction for cryptocurrency supporters as more and more politicians begin to see the uses of cryptocurrencies and blockchain technology.
Rep. Jeff Weninger said that this new legislation is, “Sending a signal to everyone in the United States, and possibly throughout the world, that Arizona is going to be the place to be for blockchain and digital currency technology in the future.” This new legislation did not come without a fight though as state Senate minority leader Steve Farley warned about the potential dangers of accepting Bitcoin as a form of tax payments saying that it could put the state and taxpayers at risk if the price of Bitcoin crashes. This worry was eased a bit as Arizona’s Department of Revenue noted that it would only have up to 24 hours to convert Bitcoin payments into U.S. dollars.
Arizona also passed another piece of legislation that requires smart contracts to be upheld and enforced under Arizona law. Arizona’s law now states that:
“A signature that is secured through blockchain technology is considered to be in electronic form and to be an electronic signature … A record or contract that is secured through blockchain technology is considered to be in an electronic form and to be an electronic record.”
This shows the true value of blockchain technology and puts Arizona on the map as one of the first safe haven states for blockchain companies.
Expect to see more and more companies open in up in Arizona in the coming years as lawmakers such as Arizona Republican Jeff Weninger fight to protect blockchain technology and show the real world applications of cryptocurrencies.