Oklahoma Signs Law into Effect Protecting Crypto Transactions, Mining, and Self-Storage

Oklahoma has made a significant move by passing a bill to protect bitcoin rights, marking a landmark moment in digital asset legislation. Governor Kevin Stitt signed the bill into law on May 13, 2024.

Spearheaded by Representative Samuel Brian Hill and Senator Coleman, the legislation establishes crucial protections for Bitcoin and digital asset holders. Effective November 1, 2024, the law ensures fundamental rights for individuals and businesses engaged in digital asset activities, positioning Oklahoma as a leader in the digital economy.

Legalization of Cryptocurrency Mining

The new crypto bill legalizes cryptocurrency mining for Oklahoma residents, both at home and on an industrial scale, provided they adhere to local noise ordinances. This is a significant development for Oklahoma, which has already attracted crypto mining companies. For instance, Polaris Technologies announced in February that it would invest $100 million to build a 200-megawatt mining facility outside Tulsa.

Dennis Porter, CEO and co-founder of the Satoshi Action Fund, emphasized the importance of state-level initiatives, noting that Americans should recognize the significant political opportunities available at the state level. He pointed out that throughout history, various movements and industries have leveraged state initiatives to achieve powerful victories. Satoshi Action Fund is now poised to propel the Bitcoin and digital asset ecosystem along a similar trajectory.

The bill contains several key provisions. It guarantees the right to self-custody, allowing individuals to securely hold their digital assets. It permits the use of Bitcoin and other digital currencies for transactions without additional taxes, aligning digital assets with traditional legal tender concerning tax treatment. This aims to streamline the use of cryptocurrencies in everyday transactions and foster a more inclusive financial environment. 

🚨HUGELY MASSIVE BRREAKING🚨: A bill protecting your ‘fundamental #Bitcoin rights’ has been SIGNED INTO LAW in the state of Oklahoma.

Oklahoma will now defend your:
✅ Right to self-custody
✅ Right to spend #Bitcoin and digital assets
✅ Right to mine #Bitcoin
✅ Right to run… pic.twitter.com/KdPsmLBzDo

— Dennis Porter (@Dennis_Porter_) May 14, 2024

Supporting Bitcoin Mining

Supporting Bitcoin mining is another critical aspect of the bill. It protects the right to mine bitcoin both at home and through commercial operations. By providing legal clarity and stability, Oklahoma hopes to attract more blockchain businesses and investments. The legislation prevents local governments from imposing restrictive measures specifically targeting mining activities, such as additional noise ordinances, while still adhering to general noise regulations.

Porter highlighted Oklahoma’s proactive stance by stating that the state has demonstrated its commitment to protecting the right for Bitcoiners to access technology. The bill also stipulates that the Oklahoma Corporation Commission cannot create discriminatory rate schedules for mining companies, ensuring fair utility rates and encouraging sustainable and economically viable mining practices 

Role of Satoshi Action Fund

The Satoshi Action Fund, led by Dennis Porter, played a pivotal role in advocating for the bill. The fund emphasizes the importance of self-custody and the right to mine, arguing that these rights are fundamental to financial sovereignty and innovation. They have driven similar legislative efforts across other states, marking this as a victory in their broader campaign to safeguard digital asset rights.

The bill is based on a model policy from the Satoshi Action Fund. Porter noted that although this is the first state to pass such a law, a slimmed-down version of this bill passed in Montana and Arkansas last year. He hopes these pro-bitcoin policies will become a blueprint for the nation and the world.

The Oklahoma Bitcoin Association, led by Storm Rund, was crucial in passing the bill. Their lobbying and awareness efforts secured legislative support. Eric Peterson, Policy Director at the Satoshi Action Fund, also made significant contributions. The legislation is seen as a step towards greater adoption of digital currencies, aiming to attract businesses, foster innovation, and create economic opportunities, particularly in rural areas benefiting from bitcoin mining.

Future Impact and Nationwide Inspiration

When the bill takes effect on November 1, 2024, it will set a precedent for other states. The law provides clear legal protection for bitcoin users and supports new market entrants. By ensuring legal certainty, Oklahoma positions itself at the forefront of the digital financial revolution. This legislation aims to attract blockchain businesses, drive innovation, and create economic opportunities, especially in rural areas.

By protecting the right to mine in Oklahoma, the bill wards off any future attempts—such as those seen in New York and North Carolina—to ban crypto mining. It also ensures that anyone mining crypto or otherwise operating a node will not be required to obtain a money transmitter license and ensures that anyone operating a node or staking as a service shall not face liability related to a specific transaction merely by validating that transaction.

Oklahoma’s proactive approach will likely inspire similar measures nationwide, solidifying its role as a leader in digital asset regulation. The bill’s success demonstrates the power of focused advocacy and strategic legislative action in shaping the future of Bitcoin.