The resolution authorizes Senator King to introduce a nonappropriation bill aimed at prohibiting the use of computers and software in digital asset mining that are manufactured or developed by entities classified as "covered foreign entities." These entities include individuals or organizations from countries such as China and Russia, or those under their influence, as defined by the U.S. Secretary of Commerce. The bill seeks to amend the Arkansas Data Centers Act of 2023 to include these definitions and restrictions.
Under the proposed legislation, digital asset mining businesses and individual miners would be prohibited from using any computers or software produced by covered foreign entities. Violations of this law would result in penalties, with a first offense classified as a Class A misdemeanor and subsequent offenses escalating to a Class D felony. This measure aims to enhance cybersecurity and protect the state's digital asset mining operations from potential foreign threats.
Statutes affected: SR 9: 14-1-603