Proposed Pro-Bitcoin Legislation
Illinois Digital Asset Self-Custody Act
A proposed law to protect your right to hold and manage your own digital assets, like Bitcoin, without being forced to use a third-party service. Here’s what it means to you:
-Protects Your Control: You can store and manage your digital assets (like Bitcoin) yourself using a digital wallet or private key, without the state requiring you to use a bank or other custodian.
-No Extra Licenses: If you’re holding digital assets for personal use (like investing or saving), you don’t need a state license or registration.
-Safeguards Privacy: The state can’t take or restrict your digital assets without a legal process, like a court order.
-Fair Taxes: You won’t face special taxes or fees just for managing your own digital assets, though regular taxes (like income tax) still apply.
Illinois Municipal Digital Asset Investment Act
A proposed law that would let cities and towns in Illinois invest a small portion of their public money in Bitcoin-related investments. Cities and municipalities can choose to invest up to 5% of their funds in:
-Bitcoin ETFs: Funds traded on stock exchanges that track Bitcoin’s value
-Bitcoin Stocks: Shares of companies like Strategy, which hold a lot of Bitcoin
-Bitcoin Bonds: Special bonds where payments are made in Bitcoin, approved by the U.S. Securities and Exchange Commission (SEC)
It encourages economic growth and innovation by letting local governments tap into the digital economy while keeping things safe with rules like careful research and a low investment limit.
Illinois Bitcoin Tax Exemption Act
A proposed law to make it easier to use Bitcoin for everyday purchases by removing state taxes on those transactions. Here’s what it means to you:
-Removes state sales taxes and use taxes when you pay with Bitcoin for goods or services
-Applies to the full value of Bitcoin used, based on its market value at the time of purchase
-Works for anyone using Bitcoin directly as payment
-Encourages people and businesses to use Bitcoin, boosting innovation and attracting tech companies to Illinois
-Keeps things simple by not changing income taxes or federal rules