By MADISON HIRNEISEN
THE CENTER SQUARE
(The Center Square) – Gov. Gavin Newsom has signed an executive order to create a framework to regulate the crypto industry while providing opportunities for innovation in the Golden State.
The executive order, signed by Gov. Newsom on Wednesday, aims to develop a regulatory approach to “spur responsible innovation” and protect consumers. The order lays out several priorities, including a goal of creating a “transparent and consistent business environment” for companies that operate in blockchain – including crypto assets.
“California is a global hub of innovation, and we’re setting up the state for success with this emerging technology – spurring responsible innovation, protecting consumers, and leveraging this technology for the public good,” Gov. Newsom said in a statement. “Too often government lags behind technological advancements, so we’re getting ahead of the curve on this, laying the foundation to allow for consumers and business to thrive.”
Gov. Newsom’s order comes after actions at the federal level to clarify regulations surrounding companies that operate in blockchain. In March, President Joe Biden signed an executive order that called for a review of cryptocurrencies.
Gov. Newsom’s order focuses extensively on engaging with stakeholders and the public to develop a regulatory framework for applying blockchain technologies, including in-state and public operations. The order also prioritizes opportunities to create a “research and workforce environment to power innovation in blockchain technology.”
Other states have made moves to address aspects of the crypto industry. In Illinois, a bill that would allow the Department of Revenue to accept cryptocurrency as payment is advancing. Meanwhile, New York is considering a ban on new bitcoin mining operations, CNBC reports.