Senate Passes Bill to Foster Innovation in Cryptocurrency Across Colorado

January 28, 2019

Denver, CO - The Colorado State Senate today passed SB19-023, The Digital Token Act, a bill that clarifies regulations surrounding cryptocurrency and other blockchain technologies in order to foster innovation across Colorado. Sponsored by Sens. Steve Fenberg (D-Boulder) and Jack Tate (R-Centennial), the Senate passed the bill unanimously and it now moves to the House of Representatives for consideration.   “This bill allows our regulations to enter the 21st century. By enabling businesses to more easily deal in cryptocurrency, we can ensure Colorado is a leader in promoting healthy innovation of blockchain technology and help grow Colorado’s economy,” said Majority Leader Steve Fenberg.   Blockchain technology is new and rapidly evolving. Over the past three years, blockchain companies affiliated with Colorado have raised over $50 million in venture capital funding. In the past, a lack of regulatory clarity has impeded growth; however, the Digital Token Act modernizes statute to ensure Colorado remains a leader in cryptocurrency and blockchain technology.   “We introduced the Colorado Digital Token Act to streamline the regulation of digital assets and to provide regulatory clarity for companies who offer them. The bill will promote growth in the blockchain space by facilitating capital investment,” said Senator Tate.   The bill was developed through the collaborative efforts between industry stakeholders and the Blockchain Council, a 16 member working group to which Senator Fenberg and Senator Tate were appointed by Governor John Hickenlooper. The Council was tasked with developing a legal framework for blockchain in Colorado to promote and support healthy innovation in the space.   “Together with Governor Jared Polis, we are committed to the Colorado Blockchain Council’s work that furthers our state’s role as a blockchain industry leader,” said Colorado Office of Economic Development and International Trade Executive Director Betsy Markey, “Blockchain offers transformative potential in government, economic development and personal identification data and we will keep Colorado at the forefront of its adoption as a driver of economic growth.”   For more information about SB19-023, please visit: https://leg.colorado.gov/bills/sb19-023.

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