Nevada strengthens stake in blockchain industry after Sisolak OKs trio of bills

CARSON CITY, Nev. — Nevada Gov. Steve Sisolak has signed three bills centered on blockchain technology into law.

The governor signed Senate Bills 162, 163, and 164, all sponsored by Sen. Ben Kieckhefer, R-Reno, on June 7.

A fourth blockchain-focused bill, SB 161, has been sent to the governor's desk for his signature, which as of June 12 had yet to be signed.

The bills approved June 7 will help continue Nevada's position as a national leader in legislation supporting the development of blockchain technology, according to Northern Nevada-based blockchain company Blockchains, LLC.

“Witnessing Governor Sisolak sign these three innovative bills into law signals to the rest of the world that Nevada is a state that is serious about growing and supporting blockchain technology,” company CEO and founder Jeffrey Berns said in a statement.

Kieckhefer — who is one of 14 members of Nevada's Tech Caucus — originally sponsored Senate Bill 398, which was approved during the 2017 Legislative session and served as a precursor the the blockchain-related bills introduced this year.

Below is a breakdown of the four bills from the 2019 Nevada Legislature:

SB 161: this bill establishes temporary regulatory exemptions so companies that are just starting out can determine market viability for their products. Think initial cyrptocurrency coins or tokens, such as the proposed tokens that will allow customers to purchase marijuana at dispensaries rather than having to always use cash.

SB 162: an initial draft of this bill would require all state agencies to accept a blockchain record as replacement for regular records. It has been amended to say that an agency may accept a blockchain record. It's a modernization bill, Falk says. Innovative government agencies that are modernized and have the flexibility to adopt blockchain records, such as Washoe County, can adopt blockchain records rather than having documents certified and notarized.

SB 163: Nevada is No. 2 in the country behind Delaware for business regulatory filings, and SB 163 would allow corporations registered in Nevada to use a blockchain to maintain all their business records and corporate documentation required by the Secretary of State.

SB 164: Clarifies that virtual currencies are an intangible product and not subject to taxation under current code.

“For the last three years, Senator Kieckhefer has worked hard to pass light-touch legislation that would attract blockchain operators and investors to Nevada,” Blockchains, LLC Vice President of Government Affairs and Strategic Initiatives Matthew Digesti said in a statement. “We want to thank the Nevada Tech Caucus for its advocacy as well as other champions of this forward-thinking legislation like the Nevada Tech Association and the numerous representatives from blockchain-based companies who advocated for these bills.”