The proposed bill, S. 163, seeks to amend the South Carolina Code of Laws by adding Chapter 47 to Title 34, which addresses various aspects of cryptocurrency and digital assets. Key provisions include prohibiting governing authorities from accepting or requiring payments in central bank digital currency and from participating in any related tests. The bill allows individuals and businesses to use digital assets for transactions without facing disparate tax treatment or zoning restrictions. It also stipulates that digital asset mining operations must not stress the electrical grid and outlines the responsibilities of digital asset mining businesses regarding power consumption.

Additionally, the bill clarifies that individuals or businesses engaged in digital asset mining, operating nodes, or developing blockchain software are not required to obtain a money transmitter license. It further states that services related to digital asset mining or staking are not considered securities. The Attorney General is empowered to prosecute fraudulent claims related to digital asset mining services. Overall, the bill aims to create a regulatory framework that supports the use of digital currencies while ensuring consumer protection and compliance with existing laws.