Tokenization of Corporate Stocks Bill Introduced in Wyoming

Tokenization of Corporate Stocks Bill Introduced in Wyoming

Wyoming Bill 185 has been introduced which would allow corporate stocks to be tokenized. The legislation would permit the storing, issuing, and digital transfer of these tokenized securities.

According to the official Wyoming legislature, a bill has just been introduced in the House to allow for corporations to issue their stocks as tokens on a blockchain. Sponsored by Representatives Olsen, Brown, Hunt, Lindhold, Western, and Zwonitzer along with Senators Driskill and Rothfuss, House Bill 185 would go into effect July 1st if passed.

Given such broad support, the legislation has a high likelihood of passing.

Wyoming: The Most Crypto-friendly State?

Wyoming has been in the news recently for introducing and approving some landmark blockchain-friendly bill in their legislature. On November 30th 2018, for example, the state officially approved a bill which would allow traditional banking to integrate itself with blockchain technology. The state is also the home of the Wyoming Blockchain Coalition led by Caitlin Long, one of the largest state-based crypto lobbying groups in the country.

According to the new House Bill 185 allowing for tokenized shares of corporations, the bill reads:

“The articles of incorporation or bylaws of a corporation may specify that all or a portion of the shares of the corporation may be represented by share certificates in the form of certificate tokens.”

Although few states have crypto-friendly laws on the books, Wyoming is leading the way and other states will likely follow if these legislative pushes turn out successful.

What do you think of Wyoming’s new blockchain-friendly bill? Let us know your thoughts in the comments.

Image courtesy of WikiMedia.

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