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U.S. Lawmakers Introduce the 2026 Blockchain Development Innovation Promotion Act to Clarify Money Transmission Rules

U.S. Lawmakers Introduce the 2026 Blockchain Development Innovation Promotion Act to Clarify Money Transmission Rules

A bipartisan group of U.S. House lawmakers proposes a new bill to protect blockchain developers from criminal prosecution, limiting money transmission laws to entities controlling customer funds.

Fact Check
The official legislative record of the U.S. Senate provides evidence of bipartisan discussion and advancement of a bill concerning blockchain innovation, including statements aligned with protecting software developers and encouraging technical transparency. Congressional profiles for key senators involved in technology and innovation policy show sponsorship and cosponsorship activities related to blockchain, confirming genuine legislative movement on such initiatives. The authoritative federal databases corroborate that the bill referenced was indeed advanced by Congress and enjoyed bipartisan support, reflecting a clear alignment with policy goals in software development and innovation. While not every source directly references the protective provisions for developers, the consistency across official legislative records and congressional member pages strongly supports the claim that Congress advanced a bipartisan blockchain innovation bill intended to protect software developers.
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Summary

A bipartisan group of U.S. House lawmakers introduced the 2026 Blockchain Development Innovation Promotion Act, aiming to protect blockchain developers from criminal prosecution. The bill clarifies that Section 1960 applies only to entities managing customer funds, not those writing or distributing code. Sponsors include Reps. Scott Fitzgerald, Ben Cline, and Zoe Lofgren.

Terms & Concepts
  • Money Transmission Laws: Regulations that govern the transfer of funds or assets on behalf of others; the proposed bill limits these laws' applicability to custodial entities.
  • DeFi (Decentralized Finance): A movement that uses decentralized networks to transform traditional financial systems and services, such as lending, borrowing, and exchanges.