Plan in bipartisan package approved in House vote

A proposal from state Rep. Beau LaFave expanding criminal definition in instances where money changes hands today was approved by the Michigan House.

LaFave’s legislation, House Bill 4104, does not create any new crimes or strengthen penalties. It adds to definition within the Michigan Penal Code to include cryptocurrency as an item of value in crimes involving racketeering. The proposal is one of six addressing digital currency to protect Michigan consumers in a bipartisan update to current laws.

Cryptocurrency first started to appear in the United States in the early 1990s, but its popularity has taken off due to a surge in online business and the ease and unregulated nature of exchange. Several major merchants across the country now accept digital forms of currency. Cryptocurrency is not officially recognized as a form of money, so loopholes have naturally arisen in outdated current laws which specifically define a transfer of money in forms of crime.

“My bill, along with my colleagues’ bills, make a fundamental but simple idea codified into law,” said LaFave, of Iron Mountain. “If it is illegal to do something with cash – such as bribe an elected official – it should be illegal to do so with Bitcoin and cryptocurrency.”

The six bills in the package, HBs 4102-07, advance to the Senate for further consideration.