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Home » Bill Permitting Tokenization of Stocks Tabled In Wyoming

Bill Permitting Tokenization of Stocks Tabled In Wyoming

Kelly Cromley by Kelly Cromley
Jan 18, 2019
in Market News, News
Reading Time: 1 min read
0

State of Wyoming has submitted a bill to enable companies to issue blockchain tokens representing stocks. The lawmaker who sponsored the bill was Olsen, while co-sponsors are Rep. Brown, Rep. Hunt, Rep. Lindholm, Rep. Western and Rep. Zwonitzer as well as Senator Driskill and Senator Rothfuss.

The title of the bill reads:

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‘A bill for an act relating to corporate shares and distributions; authorizing corporations to issue certificate tokens in lieu of stock certificates as specified; making conforming amendments; and providing for an effective date.’

The bill begins with an academic journal of all the technical terms used in Fintech. It then discusses the type and content of certificates. For example, the awarded certificate should contain [at least] the name of the concerned person to whom the token was awarded or, in case of a certificate token, the actual address to whom the token was awarded.

Section (g) of the bill states that ‘The articles of incorporation or bylaws of a corporation may specify that all or a portion of the shares of the corporation may be represented by share certificates in the form of certificate tokens.’

If the bill goes through then it will become effective July 1, 2019. At present, the bill has been allotted a bill number and sent to the Wyoming Legislature (LSO) Central Staff Office.

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