Mississippi Enacts Groundbreaking Law for Proof of Work Mining Like Litecoin

The Mississippi Digital Asset Mining Act, Senate Bill No. 2603 was passed on February 8th. The bill was written by Senator Josh Harkins member of the Mississippi State Senate.

Josh Harkins - Republican member of the Mississippi State Senate

The act aims to create a legal framework for the use of digital assets and mining operations in the state of Mississippi. The bill defines key terms such as "node" and"digital asset mining" and provides protection for these activities.

The act outlines that it shall be:

legal to run a node for home digital asset mining at a private residence, and for a digital asset mining business to operate in areas zoned for industrial use. 

The Mississippi Public Service Commission is also prohibited from establishing discriminatory rate schedules for digital asset mining businesses.

The bill also amends the Mississippi Code of 1972 to include the definition of "virtual currency." The definition of virtual currency is given as "a digital representation of value that functions as a medium of exchange, a unit of account, and/or a store of value and is not recognized as legal tender by the United States government."

Furthermore, the bill states that no person or other entity engaged in home digital asset mining nor any digital mining asset business shall be considered a money transmitter under the Mississippi Money Transmitters Act.

Overall, the Mississippi Digital Asset Mining Act is a step forward for Litecoin and Litecoin mining industry in Mississippi. It provides legal certainty for the use of litecoin and Litecoin mining operations and seeks to protect the rights of individuals and businesses engaged in these activities. The bill has the potential to create jobs and provide economic benefits for the state, and it sets a positive example for other states to follow.

The Mississippi digital asset mining bill is expected to take effect from July 1, 2023, following further approval from the House members and state Governor.

Sources:

1. https://openstates.org/ms/bills/2023/SB2603/

2. chrome-extension://efaidnbmnnnibpcajpcglclefindmkaj/http://billstatus.ls.state.ms.us/documents/2023/pdf/SB/2600-2699/SB2603CS.pdf

3. https://casetext.com/statute/mississippi-code-1972

4. https://en.wikipedia.org/wiki/Josh_Harkins