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Nebraska Lawmaker Introduces Bills That Would Permit Banks to Custody Crypto
Sen. Mike Flood wants to make Nebraska a financial technology hub and create jobs.
Por Tanzeel Akhtar
A Nebraska state senator has introduced two bills that would allow the state's banks to offer custodial services for digital assets.
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- Sen. Mike Flood, a Republican, introduced the legislation at the first session of the 107th state legislature on Tuesday.
- Legislative bill 648 (see below) relates to the "Transactions in Digital Assets Act," outlining requirements for banks providing custodial services and a classifications of digital assets and related technology such as smart contracts and private keys.
- Banks seeking to offer custody services would need to give 60 days notice to Nebraska's Director of Banking and Finance and comply with the provisions of the bill.
- They would also need to comply with state and federal laws on money laundering, as well as following information technology best practices for securing digital assets.
- Custodied digital assets would not be depository liabilities or assets of the bank.
- Last week, Flood said he would introduce the bills as a top priority, aiming to make Nebraska a financial technology hub and create new jobs in the state, reported Norfolk Daily News.
- In July, the Office of the Comptroller of the Currency issued a letter allowing all nationally chartered banks in the U.S. to provide custody services for cryptocurrencies.
See legislative bill 648 in full below:
Read more: Nebraska Lawmaker Files 3 Blockchain Bills
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