South Carolina Passes Law Banning CBDCs While Protecting Crypto Users, Bitcoin Miners

People, companies, and Bitcoin miners in South Carolina have earned protections for the use, custody, and mining of digital belongings due to a brand new invoice signed by the state’s governor Henry McMaster. 

First launched in January 2025, Bill 163, additionally successfully bans the state’s use of any central financial institution digital foreign money (CBDC), also referred to as a “digital greenback,” and its participation in any CBDC assessments. 

“A person or enterprise shall not be prohibited, restricted, or in any other case prevented from accepting digital belongings to buy authorized items or companies; or utilizing a self-hosted pockets or {hardware} pockets, to keep up self-custody of digital belongings,” the invoice reads. 

It additionally notes that restrictions can’t be positioned on digital asset mining companies in areas which might be designed for industrial use, as long as they adjust to common sound air pollution limits and don’t place “further stress on {the electrical} grid.” 

The invoice’s closing part signifies {that a} cash transmitter license is just not required for miners, node operators, or these creating blockchain software program. 

The invoice was passed by the Senate in April 2025 after which referred to the Home Labor, Commerce and Trade Committee that Could—which got here again with a good report practically a yr later, this April. In early Could, a Home vote registered 110 “yeas” and 1 “nay.” 

The piece of crypto-friendly laws is just not the one one to hit the overall meeting within the state. Final yr, a South Carolina consultant launched the Strategic Digital Property Reserve Act, also identified as House Bill 4256.

That invoice proposed that the state’s treasurer be allowed to allocate as much as 10% of choose public funds into Bitcoin, because the general assembly found “inflation has eroded the buying energy of belongings held in state funds managed by the State Treasurer, in addition to state retirement funds.”

The invoice was referred to the Committee on Methods and Means in March 2025, however has not been further updated.  

A consultant for South Carolina Governor Henry McMaster didn’t instantly reply to Decrypt’s request for remark.