• South Dakota Governor Kristi Noem vetoed legislation that would have excluded cryptocurrencies from the definition of money.
• The bill, known as House Bill 1193, was intended to amend provisions of South Dakota’s Uniform Commercial Code and would have opened a loophole for the federal government to adopt central bank digital currencies.
• Critics believed the bill would make it so only governments could create „money,“ legalizing CBDCs while outlawing all other digital assets.
South Dakota Governor Vetoes Crypto Money Bill
South Dakota governor Kristi Noem has formally rejected legislation that would have excluded bitcoin (BTC) and other cryptocurrencies from the definition of money in the state. The bill, known as House Bill 1193, was intended to amend provisions of South Dakota’s Uniform Commercial Code to exclude digital assets from being defined as „money“ in the state.
Reason For Veto
Explaining why she vetoed the bill, gov. Noem said that explicitly excluding crypto as money would make it difficult for South Dakota residents to use their crypto holdings and put them at a disadvantage when trading with people in other states. Gov. Noem also stated that the definition of money in HB 1193 could create a loophole for the federal government to adopt central bank digital currencies (CBDCs) and make them the only viable forms of digital money.
Bill Introduced by Republican Mike Stevens
The 117-page bill was introduced in South Dakotas House of Representatives by Republican Mike Stevens earlier this month which defines money as a possible medium of exchange only if it is „authorized or adopted“ by a government. This means that bitcoin (BTC) and other privately created digital currencies are not considered as money but government-controlled CBDCs such as Chinese Digital Yuan are considered legal tender according to this bill.
Heavy Criticism Attracted By The Bill
Critics believed that this bill will legalize CBDCs while outlawing all other digital assets and will make it so that only governments can create “money” which is why it attracted heavy criticism on its introduction in 21 different states across USA by Satoshi Action Fund CEO Dennis Porter who claimed it was part of a wider plan to assemble a coalition favoring pro-CBDC states while excluding cryptocurrencies like Bitcoin from its definition of “Money” .
To protect citizens from any risk posed by legalizing CBDCs exclusively ,and allowing only governments monopoly over creating “money” ,Gov Kristi Noem vetoed house bill 1193 which aimed at amending provisions of South Dakotas uniform commercial code for exclusion of crypto assets from definition “Money” .