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Holding Bitcoin Might Result in Jail Time for Pennsylvania Officials - U.Today
The legislative effort (HB1812) aims to change the state's ethics and financial disclosure laws in order to prevent public officials from having exposure to the nascent asset class
Apart from Bitcoin, public officials would also be barred from holding alternative cryptocurrencies (including memecoins), non-fungible tokens, and even stablecoins
They would not be able to hold crypto through funds, trusts, or funds. The same applies to cryptocurrency derivatives as well as exchange-traded funds (ETFs), which have gained significant adoption over the past year
The state's officials would be required to divest their digital asset holdings within two months of taking office. Moreover, they would also be prohibited from owning crypto a year after leaving their government jobs
Potential jail time
If a public official fails to comply with these requirements, he or she could face a civil penalty of up to $50,000
It should also be noted that violations under the Ethics Act could be punishable as felonies with imprisonment
Will it pass?
The recently introduced bill has now been referred to the Committee on State Government.
For now, it remains at the very beginning of the legislative process, meaning that it remains unclear whether the bill will eventually pass
Crypto holders in Congress
For now, there are no restrictions preventing members of Congress from holding Bitcoin. However, they are supposed to comply with existing disclosure laws
Several members of Congress from both the Republican and the Democratic parties have previously disclosed crypto holdings. They include Michael Collins (R-GA), Barry Moore (R-AL), Jeffrey Jackson (D-NC), and so on.