- A bill has been proposed in Arizona to make Bitcoin legal tender.
- It might prove difficult for the bill to become law because the US law because of the lack of regulatory clarity in the US.
- Despite regulatory ambiguity, Bitcoin adoption in the US is on the rise.
A bill introduced by State Senator Wendy Rogers would allow citizens of Arizona to legally carry out payments for goods and services, including things like utility bills, with Bitcoin. If passed, Arizona would be the first state in the United States to do so.
Bill SB 1341
If passed, Bill SB 1341, proposed by the Republican state Senator, Wendy Rogers, will see Bitcoin become legal tender in the state of Arizona. As well as clearing debts, Bitcoin would also become acceptable for payment of services offered by the state. However, the enforceability of such a law would cause problems, as the US constitution prohibits states from creating legal tender.
Article I, Section 10, Clause 1 states, “No State shall enter into any Treaty, Alliance, or Confederation; grant Letters of Marque and Reprisal; coin money; emit Bills of Credit; make anything but gold and silver coin a Tender in Payment of Debts; pass any Bill of Attainder, ex post facto Law, or Law impairing the Obligation of Contracts, or grant any Title of Nobility.”
Bill SB 1341 still has a long road ahead of it to become law. It would first have to gain approval from the state senate and house before it could be signed into law by the incumbent governor and fellow Republican, Doug Ducey.
It is important to note that Wendy Rogers took office early last year and has been linked with the anti-government group Oath Keepers. Rogers has also celebrated the conspiracy theory group QAnon that made the state Senator a figure marred by controversy.
In related news, Don Huffines, a Texas governorship candidate and Republican, has strongly hinted at making the cryptocurrency legal tender if elected. On his website, the real estate developer was quoted as saying, “I have owned Bitcoin for years and I’m a strong believer in both its value as an asset and potential as a currency. As a leader in innovation, Texas must lead the nation on Bitcoin policy and cryptocurrency adoption. I am committed to making Texas the Citadel for Bitcoin and protecting the industry from the federal government.”
Bitcoin Adoption In The United States
Aside from regulatory ambiguity in the United States, since the Chinese ban on cryptocurrency mining, the US has become a hub for cryptocurrency. The influx of miners has made the United States the largest hash power generator in the world after the migration of Chinese miners.
States like New York, Texas, and Florida have been at the forefront of the news as regards Bitcoin and blockchain adoption. All of these states have created policies to encourage Bitcoin and blockchain technology growth and adoption. Most recently, the governor of Texas, Gregg Abbott, called on miners to help stabilize the electric grid.
Currently, the House has started reviewing the energy consumption and environmental impacts of Bitcoin mining. The House will likely clarify its stance on cryptocurrency mining after it is done with its inquiry.