The “Virtual Currency Bill” that recognizes the legal status of cryptocurrencies has just been passed by the Texas House of Representatives.
It will now have to clear the Senate hurdle before becoming law and potentially establishing the “Lone Star State” as a major crypto hub together with Wyoming.
The bill aims to include the term “virtual currency” in the Uniform Commercial Code, which governs commercial transactions in the state:
A “Virtual currency” means a digital representation of value that functions as a medium of exchange, unit of account, and/or store of value and is often secured using blockchain technology.
If turned into law, it would provide a legal framework for obtaining control over cryptocurrencies. The bill allows the purchaser to share “the power with another person,” thus making it possible for financial institutions to engage in crypto custody.
Texas Governor Greg Abbott personally came out in support of the landmark crypto bill.