|Posted:||June 28, 2021 11:33 AM|
|From:||Representative Napoleon J. Nelson|
|To:||All House members|
|Subject:||Blockchain Technology Bill Package|
Blockchain, which is a tamper-proof digital transaction ledger, is already a force to be reckoned with – and it is projected to continue growing in the coming years. The global blockchain market was estimated at $3 billion in 2020 and is expected to grow to nearly $40 billion by 2025. Its most widely known application is cryptocurrency, with the most popular choice being Bitcoin. But blockchain has many possible uses in addition to virtual currency, which tech specialists are still discovering – they include monitoring supply chains, medical recordkeeping, safeguarding title transfers, digital identification, and financial recordkeeping and transactions.
At present, blockchain represents a regulatory gray area, as many of today’s laws and regulations did not envision the level of technology we now enjoy. To keep Pennsylvania at the cutting edge of technological innovation, I will be introducing two measures that will help develop a regulatory framework to support blockchain technology in a way that both promotes business development and protects consumers.
These proposals would permit businesses in our Commonwealth to develop blockchain-based products in a controlled way while exploring the regulatory environment in anticipation of future growth. Please join me in supporting the responsible and deliberative expansion of this growing industry in Pennsylvania.
Introduced as HB1370
|Description:||HB 1370 establishes a two-year financial technology sandbox program. This will allow the Department of Banking and Securities to work together with the Department of State to waive specific laws and regulations that do not currently permit blockchain-based financial technologies to be offered to consumers. The approved businesses would be required to notify the consumer that the product is part of a sandbox program and is still under development.
Introduced as HR121
|Description:||HR 121 is a resolution that would establish a blockchain working group tasked to create a master plan for the growth of the blockchain industry in Pennsylvania, including developing appropriate recommendations for new laws and regulations.