Texas Pushes for Crypto Transparency With User Balance Disclosure Rule
Texas House of Representatives passed a bill aimed at regulating the cryptocurrency industry. The bill, known as HB1666, proposes that digital asset service providers maintain sufficient reserves to cover all user obligations, including crypto deposits and balances. Additionally, it may require crypto companies to provide detailed accounting reports on a quarterly basis to both customers and auditors. These reports would detail outstanding liabilities owed to the customer and the amount of crypto held in reserve by the company.
The proposed requirements in the bill are somewhat similar to the proof-of-reserve reports already published by major exchanges such as Binance, Coinbase, and Kraken. However, the language in the bill suggests that companies must supply personalized reports to individuals rather than company-wide reports. It is important to note that the rules apply only to digital asset service providers that serve more than 500 Texas-based users or to digital asset service providers with at least $10 million in customer funds. The rules do not apply to banks, nor do they apply to companies that are not required to hold money services licenses. As of now, the bill has not been passed by the Texas Senate, nor has it been signed into law.
Source
https://t.me/Crypto_Futures_Trading
