On February 24, Ohio lawmakers introduced House Bill 116, aiming to prohibit the state legislature from imposing taxes on digital assets used for payments. The bill, supported by Representatives Steve Demetriou, Tex Fischer, and others, seeks to amend existing legislation to prevent municipalities from levying extra taxes on crypto beyond those applied to fiat transactions. "Digital assets" are defined as cryptocurrencies, stablecoins, and NFTs. While standard taxes like sales tax would still apply, no new levies would be permitted.
The "Ohio Blockchain Basics Act" also protects the right to self-custody digital assets and allows crypto staking. Mining, staking, and crypto-to-crypto exchanges won't require money transmission licensing. Mining is permitted in residential areas if local zoning is followed, and is explicitly allowed in industrial zones. Furthermore, Ohio state retirement funds must assess the risks and benefits of investing in crypto ETFs within a year. This follows recent crypto-friendly initiatives, including proposals to accept crypto for state taxes and establish a strategic Bitcoin reserve.