This bill aims to protect the holding and operation of digital assets within the state of Michigan by prohibiting any state or local government from banning, requiring permits or licenses, or imposing additional taxes or charges solely based on the use of digital assets. It specifically states that no agency or department of the state can advocate for or support the implementation of a central bank digital currency by the United States government. Furthermore, the bill ensures that the operation of nodes, transfers of digital assets, and participation in staking on blockchain protocols cannot be prohibited by the state or its subdivisions.

Additionally, the bill provides civil liability protections for individuals who validate transactions for digital asset mining or operate nodes on a blockchain network. It defines key terms related to blockchain technology and digital assets, including "digital asset," "blockchain," "node," and "staking," to clarify the scope of the legislation. The bill emphasizes the importance of maintaining a supportive environment for digital assets and blockchain technology in Michigan.