Introduced Version HOUSE BILL No. 1156 _____ DIGEST OF INTRODUCED BILL Citations Affected: IC 36-1. Synopsis: Digital asset mining. Prohibits a county, municipality, or township (unit) from adopting or enforcing an ordinance that would have the effect of prohibiting, restricting, or impairing an individual's or a business's ability to: (1) use digital assets to purchase legal goods and services; (2) accept digital assets as a method of payment for legal goods and services; (3) use a hardware wallet or self-hosted wallet to store the individual's or business's digital assets; (4) take custody of digital assets by using a hardware wallet or self-hosted wallet; or (5) operate a node for the purpose of connecting to a blockchain protocol and participating in the blockchain protocol's operations. Provides that use of a property for a digital asset mining business is a permitted industrial use under any applicable zoning ordinance of a unit and may not be disallowed by a zoning ordinance in a zoning district that permits industrial use. Prohibits a unit from applying the unit's zoning ordinances in specified ways to regulate digital asset mining. Effective: July 1, 2025. Pierce K, VanNatter, Miller K January 8, 2025, read first time and referred to Committee on Local Government. 2025 IN 1156—LS 6565/DI 154 Introduced First Regular Session of the 124th General Assembly (2025) PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type. Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution. Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts between statutes enacted by the 2024 Regular Session of the General Assembly. HOUSE BILL No. 1156 A BILL FOR AN ACT to amend the Indiana Code concerning local government. Be it enacted by the General Assembly of the State of Indiana: 1 SECTION 1. IC 36-1-3-14 IS ADDED TO THE INDIANA CODE 2 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 3 1, 2025]: Sec. 14. (a) The following definitions apply throughout 4 this section: 5 (1) "Digital asset" means: 6 (A) virtual currency; 7 (B) cryptocurrency; 8 (C) natively electronic assets, including stablecoins and 9 nonfungible tokens; and 10 (D) other digital only assets that confer economic, 11 proprietary, or access rights or powers. 12 (2) "Hardware wallet" means a physical device that is not 13 continuously connected to the Internet and allows an 14 individual to secure and transfer digital assets and under 15 which the owner of the digital assets retains independent 16 control over the digital assets. The term includes a physical 17 device under which the owner of the digital assets retains 2025 IN 1156—LS 6565/DI 154 2 1 independent control over the digital assets. 2 (3) "Node" means a computational device that does: 3 (A) not exercise discretion over transactions initiated by 4 the end users of the blockchain protocol; and 5 (B) one (1) or more of the following: 6 (i) Communicates with other devices or participants on 7 a blockchain to maintain consensus and integrity of the 8 blockchain. 9 (ii) Contains and validates transaction blocks. 10 (iii) Contains and updates a copy of the blockchain. 11 (4) "Self-hosted wallet" means a digital interface that is used 12 to do the following: 13 (A) Secure and transfer digital assets. 14 (B) Allow the owner to retain independent control over the 15 digital assets secured by the digital interface. 16 (b) A unit may not adopt or enforce an ordinance that would 17 have the effect of prohibiting, restricting, or impairing an 18 individual's or business's ability to: 19 (1) use digital assets to purchase legal goods and services; 20 (2) accept digital assets as a method of payment for legal 21 goods and services; 22 (3) use a hardware wallet or self-hosted wallet to store the 23 individual's or business's digital assets; 24 (4) take custody of digital assets by using a hardware wallet 25 or self-hosted wallet; or 26 (5) operate a node for the purpose of connecting to a 27 blockchain protocol and participating in the blockchain 28 protocol's operations. 29 SECTION 2. IC 36-1-30.5 IS ADDED TO THE INDIANA CODE 30 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE 31 JULY 1, 2025]: 32 Chapter 30.5. Regulation of Digital Asset Mining 33 Sec. 1. As used in this chapter, "blockchain" means data that is: 34 (1) shared across a network to create a ledger of verified 35 transactions or information among network participants 36 linked using cryptography to maintain the integrity of the 37 ledger and to execute other functions; and 38 (2) distributed among network participants in an automated 39 fashion to concurrently update network participants on the 40 state of the ledger and any other functions. 41 Sec. 2. As used in this chapter, "digital asset mining" means 42 using computer hardware and software specifically designed or 2025 IN 1156—LS 6565/DI 154 3 1 utilized for the purpose of validating data and securing a 2 blockchain network. 3 Sec. 3. As used in this chapter, "digital asset mining business" 4 means multiple digital asset mining devices at a single site that 5 consumes more than one (1) megawatt of energy on an average 6 annual basis in Indiana for the purpose of generating digital assets 7 by securing a blockchain network. 8 Sec. 4. As used in this chapter, "digital asset mining device" 9 means computing hardware specifically designed or utilized to 10 participate in digital asset mining for the purpose of securing a 11 blockchain network. 12 Sec. 5. As used in this chapter, "node" means a computational 13 device that does: 14 (1) not exercise discretion over transactions initiated by the 15 end users of the blockchain protocol; and 16 (2) one (1) or more of the following: 17 (A) Communicates with other devices or participants on a 18 blockchain to maintain consensus and integrity of the 19 blockchain. 20 (B) Contains and validates transaction blocks. 21 (C) Contains and updates a copy of the blockchain. 22 Sec. 6. Use of a property for a digital asset mining business is a 23 permitted industrial use under any applicable zoning ordinance of 24 a unit and may not be disallowed by a zoning ordinance (as defined 25 in IC 36-7-1-22) in a zoning district or classification of a unit that 26 permits industrial use. 27 Sec. 7. A unit may enact or enforce a law or plan that regulates, 28 prohibits, or limits use of property for digital asset mining in an 29 industrial zoning district or classification of a unit only if 30 enforcement is performed in the same manner as enforcement that 31 applies to similar properties that are not used for digital asset 32 mining businesses. 33 Sec. 8. A unit may not: 34 (1) require a special exception, special use, or zoning variance 35 for the use of a property for a digital asset mining business in 36 an industrial zoning district or classification of a unit; 37 (2) interpret and enforce the unit's zoning regulations in a 38 manner that is intended for or has the effect of prohibiting or 39 unreasonably restricting the use of industrial property for a 40 digital asset mining business; or 41 (3) require a permit for the use of a property for a digital 42 asset mining business in an area that is zoned for industrial 2025 IN 1156—LS 6565/DI 154 4 1 use. 2 Sec. 9. A unit may change the zoning classification of a property 3 used for a digital asset mining business only as provided under 4 IC 36-7-4. 2025 IN 1156—LS 6565/DI 154