South Dakota is creating a new legal framework for virtual currency and other digital assets by establishing definitions and rules for how businesses can handle them. The law allows banks and other financial institutions to provide custodial services (safekeeping and management) for virtual currency and digital assets, and sets up requirements around security measures like multi-signature arrangements to protect customer holdings. This essentially brings virtual currency under South Dakota's financial regulation system so that banks can legally offer cryptocurrency services within the state.
This bill does not directly amend codified state law.
Commerce and Energy Deferred to the 41st legislative day Passed, YEAS 9, NAYS 2.
Commerce and Energy Scheduled for hearing
First read in House and referred to House Commerce and Energy H.J. 128
Tom Pischke
Prime sponsor · Rep.
R
Commerce and Energy — Deferred to the 41st legislative day