Texas Congressman Steve Stockman Introduces HR 5777: "To Protect Cryptocurrencies"

Yesterday, Texas Congressman Steve Stockman introduced a new House Resolution (HR 5777) entitled: "To protect cryptocurrencies." Congressman Steve Stockman is a Republican, from Texas's 36th Congressional district, who has become one of cryptocurrency's most ardent supporters in politics. Back in May, Stockman introduced HR 4602: Virtual Currency Tax Reform Act after the IRS revealed its virtual currency guidance for taxation. Texas has established itself as one of the most friendly states towards Bitcoin and cryptocurrencies.

Also read: Texan Congressman to Introduce Virtual Currency Tax Reform Act

HR 5777 Would Come From a Texan

In April, the Texas Department of Banking revealed their interpretation of the regulatory treatment of virtual currencies according to the Texas Money Services Act. To date, the Texas Department of Banking's words on cryptocurrencies have been the most clear and well-received, even by the Bitcoin community. In June, the Texas Alcoholic Beverage Commission clarified that Bitcoin-for-Alcohol sales are perfectly legal, and up to each individual business owner to decide or ignore. The Libertarian Party of Texas also accepts Bitcoin and in neighboring Louisiana, the state Republican Party also accepts Bitcoin. For Americans that don't have the benefit of Texas's Bitcoin clarifications, Stockman is now introducing HR 5777.

Earlier this year, when speaking on HR 4706, which is still stuck in committee, Stockman explained his motivation for sponsoring Bitcoin-related legislation:

This is a nascent industry. Along with 3-D printers and nanotubes, cryptocurrency is the future. We need to encourage it, not discourage it. There is risk associated with every budding industry in America.

HR 5777 has been referred to the Committee on Financial Services as well as the House Ways and Means Committee. Once the Bill's text is available, CCN will report on how Stockman's bill plans to "protect cryptocurrencies."

What do you think about HR 5777? Do cryptocurrencies need protection from the House of Representatives? Comment below!

Images from Shutterstock.

Last modified (UTC): December 3, 2014 12:23 AM

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Caleb Chen @bitxbitxbitcoin

Caleb is a graduate of the University of Virginia where he studied Economics, East Asian Studies, and Mathematics. He is currently pursuing his MSc in Digital Currency at the University of Nicosia.

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