US Virginia has introduced a bill to protect the mining rights of digital assets
Virginia's state senate has passed legislation on digital asset mining and transactions and its treatment in tax laws.
Senator Saddam Azlan Salim, the youngest member of the legislature at the age of 34, presented Senate Bill 339 on January 9. Then they sign it into law.
The bill exempts individuals and businesses engaged in digital mining operations from obtaining a money transfer license. It also protects against discrimination by banning the mining of digital assets from industrial zones or enacting more restrictive mining laws.
“A permit is not required under this chapter for any person engaged in home digital asset 37 mining, digital asset mining, or digital asset mining business operations, as those terms are defined in § 38 15.2-2288.9.”
In addition, the law exempts issuers and sellers of digital assets from securities registration requirements if certain conditions are met, such digital assets are not considered investment contracts.
“An issuer or seller of a digital asset is exempt from the collateral requirements of this chapter if (i) the digital asset cannot be considered an investment transaction, (ii) the issuer or seller of the digital asset does not market the digital asset to the first purchaser as a financial investment, and (iii) the digital asset is An issuer or seller will take other reasonable precautions to avoid purchasing the digital asset as a financial investment.
Companies that provide mining or stock services cannot be classified as “financial investments” under the bill. But they must file a notice to qualify for the exemption.
In addition, the law encourages the use of cryptocurrencies for daily transactions by providing tax benefits. The bill proposes that starting January 1, 2024, individuals can exclude up to $200 of net capital for tax purposes per transaction. This exclusion applies to benefits derived from the use of digital assets for the purchase of goods or services.
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