Treatment of certain non-controlling blockchain developers

(a) In general Notwithstanding applicable law, a non-controlling blockchain developer or provider of a blockchain service shall not be treated as a money transmitter or as engaged in money transmitting or, following the date of enactment of this Act, be otherwise subject to any new registration requirement that is substantially similar to the requirement that currently applies to money transmitters, solely on the basis of— (1) creating or publishing software to facilitate the creation of, or provision of maintenance services to, a blockchain or blockchain service; (2) providing hardware or software to facilitate a customer’s own custody or safekeeping of the customer’s digital assets; or (3) providing infrastructure support to maintain a blockchain service. (b) Rule of Construction Nothing in this section shall be construed to affect whether a blockchain developer or provider of a blockchain service is otherwise subject to classification or treatment as a money transmitter, or as engaged in money transmitting, under applicable State or Federal law, including laws relating to anti-money laundering or countering the financing of terrorism, based on conduct outside the scope of subsection (a). Nothing in this section shall be construed to affect whether a blockchain developer or provider of a blockchain service is otherwise subject to classification or treatment as a financial institution under the Bank Secrecy Act, this Act, or any Act enacted after the date of enactment of this Act. (c) Effect on other laws (1) Intellectual property law Nothing in this section shall be construed to limit or expand any law pertaining to intellectual property. (2) State law Nothing in this section shall be construed to prevent any State from enforcing any State law that is consistent with this section. No cause of action may be brought and no liability may be imposed under any State or local law that is inconsistent with this section. (d) Definitions In this section: (1) Blockchain developer The term blockchain developer means any person or business that creates or publishes software to facilitate the creation of, or provide maintenance to, a blockchain or a blockchain service. (2) Blockchain service The term blockchain service means any information, transaction, or computing service or system that provides or enables access to a blockchain network by multiple users, including specifically a service or system that enables users to send, receive, exchange, or store digital assets described by blockchain networks. (3) Non-controlling blockchain developer or provider of a blockchain service The term non-controlling blockchain developer or provider of a blockchain service means a blockchain developer or provider of a blockchain service that in the regular course of operations, does not have the legal right or the unilateral and independent ability to control, initiate upon demand, or effectuate transactions involving digital assets that users are entitled to, without the approval, consent, or direction of any other third party.