Oklahoma recently passed a bill, known as OKHB3594, that protects the rights of its residents to self-custody their digital assets. The legislation, signed into law by Governor Kevin Stitt and sponsored by four Republicans, prohibits restrictions on using self-custody or hardware wallets to store digital assets. This ensures that individuals in Oklahoma have the freedom to control and safeguard their own digital assets without interference from third parties. The bill also allows residents to engage in both home-based and industrial crypto mining, as long as they adhere to local noise ordinances. The self-custody bill is set to go into effect on November 1, 2024, and exempts crypto miners from obtaining a money transmitter license.
One notable provision of the Oklahoma law is the exemption of crypto miners from needing a money transmitter license. This means that individuals involved in home digital asset mining, running digital asset mining businesses, or staking are not required to acquire a license typically associated with financial transactions. The bill also prohibits discriminatory electricity rates for digital asset mining businesses, ensuring fair treatment in terms of energy costs. Additionally, residents of Oklahoma can use cryptocurrencies to pay for goods and services without facing additional taxes, withholdings, assessments, or charges solely because of the use of digital assets in transactions. The CEO of Satoshi Act Fund, Dennis Porter, emphasized the importance of the bill in protecting fundamental Bitcoin rights.
While Oklahoma is taking steps to protect the rights of individuals to self-custody their digital assets, countries worldwide are increasingly considering confiscating crypto assets for debt collection from taxpayers. South Korean tax officials in the city of Pohang plan to seize crypto from residents who have failed to pay local taxes. Similarly, the Spanish Ministry of Finance is working on legislative reforms to the General Tax Law to enable the seizure of digital assets to settle tax debts. These trends highlight the importance of legislation that protects individuals’ rights to control and safeguard their digital assets without facing seizure for tax evasion.
The Oklahoma bill not only allows residents to self-custody their digital assets but also ensures that they have the freedom to use crypto to buy legal goods. This legislation protects the rights of individuals to manage their wealth and assets without interference, giving them control over their financial futures. The bill also addresses the use of digital assets as a payment method, allowing residents to utilize cryptocurrencies without being subjected to additional taxes or charges. Overall, the Oklahoma law represents a step toward ensuring that individuals have the autonomy and freedom to manage their digital assets without facing undue restrictions or interference from third parties.
In conclusion, Oklahoma’s recent legislation to protect the rights of residents to self-custody their digital assets marks an important milestone in ensuring individual autonomy and control over digital wealth. The bill not only allows for the storage of digital assets using hardware wallets but also permits residents to engage in crypto mining and use cryptocurrencies for transactions without facing additional taxes. As countries worldwide consider seizing crypto assets for tax evasion, the importance of legislation protecting individual rights to control and safeguard digital assets becomes increasingly apparent. Moving forward, it is crucial for more states and countries to follow Oklahoma’s lead in enacting laws that uphold the fundamental rights of individuals in the digital asset space.
