a16z crypto and others establish the Cryptocurrency Freedom Alliance, advocat...

Shri333

According to the announcement on September 11, a group of cryptocurrency and blockchain companies have come together to create the Texas Cryptocurrency Advocacy Group. The organization is known as the Texas Cryptocurrency Freedom Alliance and was founded by a16z crypto, Coinbase, Ledger, Bain Capital Crypto, Blockchain Capital, and Paradigm. The organization is working to promote consistent and predictable digital asset regulations in the state of Texas.

The announcement states that to further its goals, the Cryptocurrency Freedom Alliance will facilitate educational programs for Texas officials, businesses, nonprofit organizations, and other entities to highlight the value of Web3 in Texas.

Brian Quintenz, Global Head of Policy at a16z crypto, stated that Texas is well-suited to be a haven for Web3 developers but that it requires the formation of an advocacy group to address the state's issues.

For example, Quintenz believes that decentralized autonomous organizations (DAOs) often require legal jurisdiction to operate. Texas is an attractive state because it has adopted the Uniform Unincorporated Nonprofit Association Act.

Modifying the Uniform Unincorporated Nonprofit Association Act to apply more broadly to limited liability-type entities is a state issue, and only a handful of states have adopted the Uniform Unincorporated Nonprofit Association Act[...]Texas is one of them, Quintenz said.

However, some minor changes are needed to allow DAOs to be recognized as legal entities:

One of the things we continue to try and do is advocate and educate for creating a legal entity for DAOs, making some modifications to the unincorporated nonprofit association framework but making it more restrictive. We don't want to just be open to anybody and say, 'Oh, I'm a DAO.' You should only be eligible for that when you are a decentralized organization.

Quintenz stated that in addition to advocating for changes to the Unincorporated Nonprofit Association Act, the organization will also push for cryptocurrency-friendly tax laws, charter banking laws, and banking regulations. He sees Wyoming's banking charter laws as a positive example of what crypto-friendly legislative bodies can achieve.

Texas is a hotbed for cryptocurrency mining in the United States. A significant portion of Genesis Digital Assets' mining operations is located in Texas. On July 3rd, cryptocurrency mining company Hut8 also moved 6,400 mining computers to the state.