South Carolina Signs Law Protecting Bitcoin Miners and Restricting CBDC Use

South Carolina has taken a significant step in regulating cryptocurrencies by signing a law that protects Bitcoin miners and restricts the use of central bank digital currencies (CBDC). The legislation, which was passed with strong support, aims to reduce regulatory friction for crypto users and businesses.

The law, which is seen as one of the most crypto-friendly state-level policy frameworks in the United States, includes provisions that bar state agencies from accepting CBDC payments. This move is significant as it signals a preference for jurisdictional control over how public payments and digital money interact with state operations.

The legislation also shields mining operations from local zoning restrictions by prohibiting selective restrictions on mining sites that are not equally applicable to other industrial activities in the same zone. This provision aims to reduce regulatory uncertainty for miners and data-center infrastructure operators, a sector that has drawn investment but also scrutiny in various jurisdictions.