Virginia’s Senate unanimously approved a bill that will allow banks in the American state to provide crypto custody services. The bill will go into effect once signed by Virginia Governor Glenn Youngkin within seven days. Virginian Banks Can Offer Crypto Custody Services With the New Crypto Bill The bill, no. 263 was sponsored by Delegate Christopher T. Head back in January, 2022, which allows banks in the Commonwealth to provide virtual currency custody services so long as the bank has adequate protocols in place to effectively manage the associated risks. Christopher T. Head said, “By codifying the ability for state-chartered banks to become custodians of cryptocurrency, this will make Virginia the first in the country to provide this ability to banks through legislation.” The bill effectively allows banks to provide crypto custody services and is geared more towards institutional investors with large crypto holdings. Currently, Coinbase is one of leading platforms that offer crypto custody services, although Virginia’s move could now boost competition in the sector. Several other exchanges and banks have also begun offering custody services since 2021. American States and Crypto-Friendly Laws Earlier last month, the American state of Colorado announced accepting Bitcoin and other popular altcoins as tax payments, the first state to do so. Other US states like Wyoming and Arizona have also proposed bills that will allow citizens to pay taxes in crypto. Arizona also has a proposal that intends to make Bitcoin legal tender in the state. Meanwhile, New York City Mayor Eric Adams recently agreed to take his first three paychecks in Bitcoin (BTC). This comes months after El Salvador recognized Bitcoin as legal tender. There has been a growing demand for recognizing cryptocurrencies as legal tender across the world. Recently, the Indian government also imposed a 30% tax on crypto holdings, thereby, legalizing digital assets.
The post Virginian Banks Can Now Provide Crypto Custody Services appeared first on Cryptoknowmics-Crypto News and Media Platform.
