Nowadays, cryptocurrency is a hot topic that is under discussion globally. The whole world is working on different aspects of cryptocurrency. The increasing popularity of crypto made the world think about legislation regarding the crypto market.
The government of Virginia made legislation and allowed the chartered banks of the state to offer custodial services regarding digital currency. Governor Glenn Youngkin approved this bill on Monday. This law will be applicable from 1 July this year. This bill was introduced by Chris, Head of Republican Delegate. According to him, after the imposition of this law, chartered banks will be in a position to hold the key to customers’ cryptocurrency wallets in Virginia. Banks are given instructions in this bill that they have to make sure of the availability of proper protocols and keep an eye on risks.
Democratic Delegate Mark keam (Co-Sponsor) said that banking regulatory officials of the Corporation Commission and banks’ representatives would work on the structure of the system in the next few months. He said to The Block that it is a big move for their state and country to begin mainstreaming the scheme of crypto.
Additionally, he said that they wanted the public to recognize this as such a thing where they feel its physical aspect. The public can visit banks to deposit their digital currency and ask the banks to keep it safe. According to the delegate, the public may feel nervous regarding blockchain technology, but all of them are familiar with banks.
According to Head (founder of the bill), this bill will be beneficial to Virginia. Head wrote an email to The Block in which he stated that crypto is becoming popular as a rising financial asset. The countries that are adopting cryptocurrency can make economic progress. That’s why people must pay attention to cryptocurrency.
Texas’s Banking Department authorized the chartered banks of the state to have custody of cryptocurrency assets in Jun 2021. The US regulator of chartered banks of federal also took the same measure in July 2020. Head told that he thought about this bill after observing the move taken by Texas to tackle this problem. This bill got approval in the Delegates House and Senate.