Wyoming passed law banning disclosure of digital asset keys
2023.02.16 03:35
Wyoming passed law banning disclosure of digital asset keys
By Kristina Sobol
Budrigannews.com – With one minor exception, a bill passed by Wyoming lawmakers will make it illegal for courts in the state to compel someone to reveal their private keys to digital assets.
On February 15, 2023, the Wyoming House of Representatives approved the bill during the state’s 67th general session.
The law will take effect on July 1 if Governor Mark Gordon of Wyoming approves it.
The new law titled “Production of private keys;” is W.S. 34-29-107. prohibition.” Source: According to the new law, “No person shall be compelled to produce a private key or make a private key known to any other person in any civil, criminal, administrative, legislative or other proceeding[s]” in Wyoming.
Any private keys that are associated with digital assets, a person’s digital identity, or any other interests or rights that the private key provides are included in the law.
BIG NEWS: Today, a veto-proof majority of the Wyoming legislature approved a bill that, with a few exceptions, prohibits forced disclosure of private keys! Congratulations to @rothfuss, @JaredSOlsen, @itsmikeyin, and thanks to Christopher A. The next stop will be @governorgordonhttps://t.co/qu0OoWMzKO.
A minor exception exists when a public key is either unavailable or unable to reveal information about a digital asset, digital identity, or other right or interest.
However, the act also states that the new law will not prevent a person from being compelled “to produce, sell, transfer, convey or disclose a digital asset, digital identity or other interest or right,” to which a private key could grant access.
The obligation to “disclose information about the digital asset, digital identity, or other interest or right” remains unaffected.
The title of the new law, W.S. 34-29-107, will be “Production of private keys; prohibition.”
Chapter 29 — Digital Assets, which is a subset of Title 34 — Property, Conveyances, and Security Transactions, houses the legislation governing private keys.
The private key law has been in the works since September 2019 and has now been passed.
Wyoming has long been regarded as one of the most crypto-friendly states in the United States. In July 2021, it became the first state in the United States to declare a decentralized autonomous organization (DAO) as a limited liability company (LLC). In February 2022, it considered a stablecoin that would be issued by the state; however, it appears that these efforts have not made much progress since then.
