SB1366 is a bill that proposes to expand the definition of "innovation" within the Arizona Regulatory Sandbox Program (Sandbox), which is overseen by the Attorney General (AG). The Sandbox allows entities to test innovative financial products or services in the Arizona market without needing a license or other authorization. The current definition of "innovation" includes the use or incorporation of new or emerging technology, or new applications for existing technology, to create products, services, or business models not widely available in Arizona. The bill seeks to redefine "innovation" to include the use or incorporation of both new and existing ideas or technologies, explicitly mentioning blockchain technology, to address problems, provide benefits, or offer new products, production methods, or services.

The bill also introduces a definition for "blockchain technology," aligning with the existing definition in A.R.S. § 44-7061. It makes technical and conforming changes to the current law and is set to become effective on the general effective date. However, the Governor vetoed SB1366, stating that it is too broad and could undermine the original intentions of the Sandbox.

Statutes affected:
Introduced Version: 41-5601
Senate Engrossed Version: 41-5601