Wyoming has recently approved a bill that would authorize blockchain startups to operate under a regulatory “sandbox.”
As announced Friday, the Wyoming House Committee on Minerals, Business, and Economic Development have recently cast a unanimous vote for its previously proposed FinTech sandbox bill. Should the legislation be enacted into law, companies, including blockchain startups, would be authorized to explore nascent technologies to test how they may operate under prevailing regulatory frameworks.
According to the Wyoming Blockchain Coalition co-founder Caitlin Long, the state has already established “an efficient approach to regulation compared to most other states,” noting how other territories including the U.S. has so far persisted with their “very heavy-handed” regulatory measures, particularly vis-à-vis financial services.
As Long added:
“Wyoming’s sandbox provides a one-year alternative for innovators, and it can be extended for a second year. That’s a lot of runway for disruptors looking to try new things.”
However, as Long further detailed, the committee’s approval of the bill is just the first of 13 steps prior to its enactment, “though arguably [it is] the most important.”
The legislative session is slated to be closed by March, with the entire enactment process expected to be completed within the aforementioned period, Long noted.
While the sandbox legislation has already passed its initial approval process, a draft bill dubbed the special-purpose depository bank bill is slated to be deliberated until January 18.