Ohio Moves Step Closer to Pro-Blockchain Law as House Passes Sweeping Digital Asset Protections

Ohio’s House of Representatives has given strong backing to a comprehensive blockchain bill that would cement digital asset rights, safeguard self-custody, and introduce tax and zoning breaks for crypto users and miners. With the legislation now en route to the state Senate, Ohio stands poised to join the vanguard of crypto-friendly states in the US.

Major Wins for Crypto Users and Miners in Ohio’s Blockchain Basics Act

The Ohio Blockchain Basics Act, cleared by the House in a decisive 68-26 vote, aims to provide robust legal protections for anyone participating in the digital asset ecosystem. The bill, sponsored by Representative Steve Demetriou, would bar state and local authorities from imposing restrictions on the use of cryptocurrencies as payment or limiting access to hardware (self-hosted) wallets. Notably, the legislation supports crypto mining activities, explicitly endorsing home mining within residential zones—with adherence to local rules—and opening industrial districts to mining enterprises that meet established standards and regulations.

Strengthening Rights, Streamlining Regulation, and Cutting Red Tape

If signed into law by Governor Mike DeWine, the measure would offer sweeping regulatory relief for individuals and small operations involved in activities like mining, staking, exchanging assets, or running blockchain nodes. These participants would be exempt from Ohio’s money transmission, securities, and investment statutes. Furthermore, cities and counties would be prohibited from rezoning areas containing mining businesses without public notice or opportunities for stakeholder input, and would grant business owners the right to challenge discriminatory decisions. Importantly, everyday crypto holders would benefit from a capital gains tax exemption for transactions under $200—simplifying taxes for routine users and paving the way for mainstream crypto adoption.

Key Stats & Figures

• Legislative Approval: Ohio House voted 68-26 in favor of House Bill 116.
• Tax Exemption: Crypto transactions below $200 are exempt from capital gains tax under the bill.
• Mining Protections: Permits residential crypto mining and supports industrial mining operations with proper oversight.
• Scope of Relief: Individuals in mining, staking, or node operation are excluded from money transmitter and securities regulations.

Ohio’s Push Mirrors National and State Crypto Legislation Momentum

The House passage comes as regulatory developments accelerate both in Washington, D.C. and across states. Just a day earlier, the U.S. Senate greenlit major stablecoin reforms, signaling federal lawmakers’ heightened attention to digital assets. Meanwhile, Ohio joins states like Kentucky—which recently passed self-custody protections for Bitcoin and Ethereum—as well as Arizona, Florida, Texas, California, and Wyoming, all of which are currently considering or enacting new crypto regulations. Advocates like the Satoshi Action Fund say Ohio’s bill sends a strong message that state governments are increasingly receptive to the needs of blockchain innovators and users. “This is a clear signal lawmakers are beginning to protect the rights of industry participants while fostering local innovation,” said Dennis Porter, CEO and co-founder of the Fund, who also praised the $200 tax exemption as a crucial step toward easier compliance for everyday users.

Conclusion: What This Means for the Market

Ohio’s progress on the Blockchain Basics Act highlights a growing trend toward regulatory clarity and pro-crypto policy at the state level. If the bill survives the Senate and gets the governor’s signature, Ohioans will enjoy clear digital asset rights and reduced regulatory friction. This move could establish Ohio as a national trailblazer, giving crypto enterprises and everyday users alike a more secure and predictable environment—potentially encouraging other states to follow suit.