Gov. Inslee signed a bill today sponsored by Sen. Sharon Brown that will recognize the validity of distributed ledger technology, including technology commonly known as blockchain.
Substitute Senate Bill 5638 encourages the development of distributed ledger technology, which can help with the management of digital records. This bill ensures an electronic record won’t be denied legal effect because it is generated or stored using distributed ledger technology, such as blockchain. Companies are currently using this technology in a wide variety of fields including tracking produce, cattle and for real estate transactions.
“Many states currently recognize the validity of distributed ledger technology and Washington needs to be among them as a leader in this space,”said Brown, R-Kennewick. “We don’t want to be a period at the end of the sentence–we need to start the conversation. It makes sense that companies will relocate to states that put them in a position to succeed. We develop this technology here and we want to keep these companies here. This bill will ensure that Washington state will continue to be a leader in distributed ledger technology,”
This bipartisan bill defines blockchain as an electronic ledger of digital records, events or transactions that are authenticated and maintained through a distributed or shared network of participants using a group consensus protocol. Distributed ledger technology means any distributed ledger protocol and supporting infrastructure, including blockchain, using a distributed, decentralized, shared and replicated ledger.