Republican Dennis Powers has submitted a Tennessee blockchain bill that proposes a detailed blockchain study. The progressive bill seeks to spur the research and study into decentralized blockchain technology.
More states are opening up to blockchain and its implications in everyday life. Rep. Dennis has asked the ‘Tennessee Department of Financial Institutions’ to start studying blockchain and how it can be applied to resolve administration, fiscal, and social issues. Also, the bill highlights how it is vital to identify regulations that hamper the evolution of the state’s blockchain sector.
Tennessee blockchain bill enumerates blockchain benefits
The bill is pro-blockchain as it not only promotes its research but also talks of how technology can solve everyday societal issues. Technically, the Tennessee blockchain bill the technology as a digital ledger that records financial transactions occurring at multiple locations and updating them simultaneously at all the ledger locations. It is a decentralized online system that promotes accuracy, efficiency, and transparency. In short – the ledger is not controlled by one party but updated at all the parties, thus being fully accountable.
Tennessee blockchain bill describes blockchain as a possible cyber-security solution, especially for banks and large financial institutions. Improved security and transparency are listed as DLT’s biggest advantages. The bill mentions its real-world applications including international transfers, transaction authentication, ID security, and payment settlements.
Are Tennessee blockchain regulations about to change?
State authorities realize the potential of decentralized technologies. Tennessee blockchain bill aims to bring about clarity regarding DLT and blockchain. It clearly states that a comprehensive study of blockchain must be undertaken. The information would be highly beneficial for the Tennessee General Assembly to understand the upcoming industry trends and also reduce the legal hindrances to their real-world application.
The study must focus on capital markets and financial applications, especially in banking transactions and trade finance. The current rules and proposed changes must be enumerated as well. Recently, Arizona congressman moved a similar bill related to crypto-assets.
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