Hawaii Senate Bill SB2698

Hawaii 2022 Regular Session

• Introduced: 1/21/22
• Refer: 1/24/22
• Refer: 1/26/22

Caption

Proposing An Amendment To Article I Of The Hawaii State Constitution To Prohibit Any Encumbrance On The Right To Own, Possess, And Use Any Medium Of Exchange.

Impact

The passage of SB2698 would have a profound impact on the legal landscape governing property and economic transactions in Hawaii. Specifically, it would enshrine a clear right for citizens to utilize various forms of currency and prevent any legislative attempts to limit the use of such mediums. The bill aims to ensure the freedom of exchange, which supporters view as an essential component of economic independence and personal liberty. It aligns with growing trends favoring digital and alternative currencies in an increasingly cashless society.

Summary

Senate Bill 2698 proposes an amendment to Article I of the Constitution of the State of Hawaii, aiming to safeguard individuals' rights to own, possess, and use any medium of exchange without restrictions. This bill identifies and emphasizes the right of individuals to engage in transactions using mutually agreed-upon forms of currency such as cash, coin, bullion, and digital currency. A significant component of the bill is the prohibition of any encumbrances that could impede the use of these mediums in trade and contracts for goods and services, subject to the state's authority to determine the mediums required for its operations.

Contention

Notably, the bill acknowledges that while it prohibits any encumbrance on mediums of exchange, it does not restrict the state’s ability to regulate the mediums it deems necessary for governmental functions. This creates a point of contention as some legislators may argue that state oversight is essential in managing financial transactions to prevent abuse or fraud. Critics might raise concerns about the implications of unrestricted digital currencies, including risks related to financial stability and regulation of illicit activities.