Cryptocurrency
Hawaii senators file a bill to allow banks to offer crypto custody services
The Block reports, “Five lawmakers from the U.S. state of Hawaii have introduced a bill seeking to authorize banks to provide custody for cryptocurrencies. “The Senate bill 2594, if passed, would make it legal for Hawaiian banks to hold digital assets, including ‘virtual currencies,’ ‘digital securities’ and ‘open blockchain tokens’ for their customers. “The bill […]
The Block reports, “Five lawmakers from the U.S. state of Hawaii have introduced a bill seeking to authorize banks to provide custody for cryptocurrencies.
“The Senate bill 2594, if passed, would make it legal for Hawaiian banks to hold digital assets, including ‘virtual currencies,’ ‘digital securities’ and ‘open blockchain tokens’ for their customers.
“The bill has been filed by four Democratic senators (Gil Riviere, Sharon Moriwaki, Stanley Chang, and Les Ihara) and one Republican senator (Kurt Fevella). Introduced last week, the bill has passed first reading and has been referred to the Senate Committee on Commerce, Consumer Protection and Health (CPH) and the Senate Committee on Judiciary (JDC).
“Hawaii has since long been known to have stringent requirements for crypto businesses. In 2017, the state’s Division of Financial Institutions mandated crypto-licensed entities to hold cash reserves equal to their crypto holdings held on behalf of customers. The decision saw Coinbase shuttering its operations in the state at the time…”