Posted on

VermontDAO? State Governor Signs Bill Clearing Way for Blockchain Companies

Vermont’s governor has signed a bill allowing for the creation of so-called “blockchain-based limited liability companies,” public records show.

CoinDesk reported in January that state lawmakers were weighing the measure, which at the time referred to “digital currency limited liability companies” and contained language indicating that such businesses – effectively running on a distributed blockchain network – would pay taxes to the state in crypto. According to the text, those businesses are described as “limited liability compan[ies] organized pursuant to this title for the purpose of operating a business that utilizes blockchain technology for a material portion of its business activities.”

The most recent version of the text, according to LegiScan, shows that the language related to taxation has been stripped out, though it still contains sections regarding the limited liability companies as well as mandates for a “Fintech Summit” and a follow-up study of backing up public records using the tech (an earlier review ultimately deemed the use case too costly).

Among the requirements for setting up a blockchain-based company in Vermont: applicants must “specify whether the decentralized consensus ledger or database utilized or enabled by the BBLLC will be fully decentralized or partially decentralized and whether such ledger or database will be fully or partially public or private, including the extent of participants’ access to information and read and write permissions with respect to protocols.”

Vermont governor Phil Scott signed the bill on May 30, LegiScan reveals.

The newly-signed law also calls for a study – due before January 15 of next year – into the tech’s use in insurance and banking and how state officials can clear the way for such applications within the state’s economy.

“The Department of Financial Regulation shall review the potential application of blockchain technology to the provision of insurance and banking and consider areas for potential adoption and any necessary regulatory changes in Vermont,” the text states.

Image via Shutterstock

The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.

Posted on

It’s Everything on Bitcoin or Go Home! – Japanese Exchange CEO

The CEO at Bitflyer – the Japanese largest virtual currency exchanging platform Yuzo Kano, described on an interview how the investors from his country that are conservative are taking steps to ‘go all-in’ on BTC and digital currencies.

Traders and investors from South Korea, Japan and China are majorly very conservative when it comes to their ‘best and investments’ while being not very open to change into any new asset. However, as years passed, Bitcoin and other virtual currencies have been struck by the mainstream ‘pusher’ which turned Japan into the largest BTC exchange market right now.

With that being said, the above mentioned market counts up to 61.23 percentage points of all bitcoin trading in a global scale.

Yuzo Kano, in an interview for The New York Time – mentions the legalization of Bitcoin as a cryptocurrency and the authorization of exchanges by the FSA – Financial Services Agency officials, which both triggered the conservative investors to move ‘all what they got’ on BTC and other digital assets:

“Japanese people tend to be very conservative with their investments, but once they get triggered they go all in.”

A similar trend has emerged in South Korea, as Bitcoin and cryptocurrencies have become the norm. Tony Lyu, the founder and chief executive of Korbit, the South Korean cryptocurrency exchange that was acquired by the $10 billion gaming company Nexon at a $140 million valuation, explained:

“Word just spreads really fast in Korea. Once people are invested, they want everyone else to join the party. There’s been this huge, almost a community movement around this.”

In consideration of the rapid growth rate of the Japanese and South Korean Bitcoin markets, prominent investors and analysts including Tuur Demeester have noted that the mid-term trend of the Bitcoin price would likely depend on the performance of two markets.

‘The train has started its engines’ as many very well known figures, high profile respected crypto-community members, institutional and retail traders have initiated their approach and engagement with BTC and crypto-trading while firms like Korbit and Bitflyer that are supported by multi-billion dollar investment companies are creating the right structure and platform for the best user approach.

Read Also: