Block chain technology is not only becoming popular in technological and financial sectors but it is also finding supporters in the US legal system. The lawmakers from various states like Nebraska, New York and Florida have proposed laws that would legalize block chain signatures. The latest state to join hands is Tennessee. Jason Powell, a lawmaker in the state has submitted a bill similar to other states, to the House of Representatives on 10th Jan.
Contents of the Bill
The bill aims to legalize block chain signatures. According to the lawmaker, block chain signatures are in the electronic form and any contract validated through such signatures would be considered an electronic record.
Jason Powell has further stated in the bill that smart contracts would have legal binding on the contracting parties. Smart contract are agreements that come into effect when some condition of the agreement is met. They are also called self-executing agreements. Hence no transaction will be termed illegal or non-binding if the contract of the transaction contains any self-executing clause.
Aim of the bill
By proposing such bill lawmakers in different states of USA are trying to synchronize block chain technology with state laws.
With a growing interest among lawmakers in this new technology more and more debates are taking place in court rooms today. Whether the outcome of the debate will be in favor of the block chain technology or not is still not clear.