New Jersey Senate passes bill to establish blockchain initiative task force

A bipartisan bill seeking to establish a blockchain initiative task force in the state of New Jersey has passed the Senate last month.

Introduced by Republican Thomas Kean and Democrat James Beach in March 2018, the bill aims to create a blockchain task force which will explore “if State, county, and municipal governments can benefit from a transition to a blockchain-based system for recordkeeping and service delivery.”

The bill recognizes that the technology has reached a point “where the opportunities for efficiency, cost savings, and cybersecurity deserve study.” It said:

“Blockchain technology is a promising way to facilitate a transition to more efficient government service delivery models and economies of scale, including facilitating safe, paperless transactions, and permanent recordkeeping [nearly resistant/impervious] resistant or nearly impervious to cyber-attacks and data destruction.

“Blockchain technology can reduce the prevalence of government's disparate computer systems, databases, and custom-built software interfaces, reducing costs associated with maintenance and implementation, streamlining the sharing of information, and allowing more regions of the State to participate in electronic government services.”

The task force would be required to develop and submit recommendations to the Governor and the Legislature concerning the potential for implementation of a blockchain-based system.

Last week, New York Assemblyman Clyde Vanel confirmed the formation of a cryptocurrency task force which will “provide the governor and the legislature with information on the effects of the widespread use of cryptocurrencies and other forms of digital currencies and their ancillary systems in the state.”