Proposal Aims to Boost Mining, Staking, and Blockchain Development
Wisconsin lawmakers have introduced a new bill that could significantly reshape the state’s approach to cryptocurrency regulation by exempting crypto businesses and individuals from money transmitter licensing requirements. If enacted, the proposal would make Wisconsin one of the more favorable states for blockchain innovation and adoption.
Assembly Bill 471, filed on Monday, outlines exemptions for activities such as mining, staking, blockchain software development, and peer-to-peer digital asset transfers. According to the Wisconsin Legislative Reference Bureau, these activities would no longer require oversight from the Department of Financial Institutions (DFI) under money transmission laws.
The bill also clarifies that exchanging digital assets would not need a license if it does not involve conversion into legal tender or traditional bank deposits.
Expanding Crypto Freedom
The text of the proposal emphasizes that no state agency or political subdivision could restrict a person from accepting digital assets as payment for legal goods and services or from using a self-hosted or hardware wallet.
It further specifies that Wisconsin residents would be free to:
- Operate blockchain nodes
- Develop software on blockchain protocols
- Transfer digital assets directly to others
- Participate in staking operations
A legislative aide familiar with the bill said the measure is designed to “give Wisconsin entrepreneurs regulatory clarity and keep blockchain development competitive in the Midwest.”
Legislative Path Ahead
The proposal currently has support from seven Republican representatives in the Assembly and two Republican senators as co-sponsors. It has been referred to the Committee on Financial Institutions for review.
According to legislative tracking platform Legiscan, the bill’s progress stands at 25%, as it must still pass through one chamber and two additional committees before advancing to the governor’s desk.
The move reflects a broader effort by U.S. states to address gaps in federal crypto regulation. While Congress debates national frameworks, local legislatures are stepping in to define crypto-friendly rules that support innovation while maintaining consumer protections.
If approved, Wisconsin could position itself alongside states like Wyoming and Texas as a hub for digital asset development.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.