Texas 2023 - 88th Regular

Texas Senate Bill SB2334 Compare Versions

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1	1	88R15622 KBB-D
2	2	By: Hughes S.B. No. 2334
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the establishment of a digital currency backed by gold;
8	8	authorizing a fee.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Subtitle A, Title 4, Government Code, is amended
11	11	by adding Chapter 404A to read as follows:
12	12	CHAPTER 404A. DIGITAL GOLD CURRENCY
13	13	SUBCHAPTER A. GENERAL PROVISIONS
14	14	Sec. 404A.0001. DEFINITION. In this chapter "digital
15	15	currency" means the digital gold currency established under this
16	16	chapter.
17	17	Sec. 404A.0002. RULES; CONTRACTING. (a) The comptroller
18	18	may adopt rules as necessary or convenient to implement this
19	19	chapter, including rules to:
20	20	(1) ensure the security of the digital currency; and
21	21	(2) prevent fraud.
22	22	(b) The comptroller has all authority necessary to enter
23	23	into contracts to administer this chapter and fulfill the purposes
24	24	of this chapter.
25	25	SUBCHAPTER B. ESTABLISHMENT AND ADMINISTRATION OF DIGITAL GOLD
26	26	CURRENCY
27	27	Sec. 404A.0051. ESTABLISHMENT. (a) The comptroller shall
28	28	establish a digital currency that is backed by gold so that each
29	29	unit of the digital currency issued represents a particular
30	30	fraction of a troy ounce of gold held in trust as provided by this
31	31	chapter.
32	32	(b) The comptroller may contract with a private vendor to
33	33	establish the digital currency or perform other duties under this
34	34	chapter.
35	35	(c) In establishing the digital currency the comptroller
36	36	shall establish a means to ensure that a person who holds the
37	37	digital currency may readily transfer or assign the digital
38	38	currency to any other person by electronic means.
39	39	Sec. 404A.0052. GOLD HELD IN TRUST. (a) The comptroller
40	40	serving as trustee or another person appointed by the comptroller
41	41	who shall serve as trustee shall hold in trust on the behalf of the
42	42	digital currency holders all gold purchased to back the digital
43	43	currency. The trustee shall maintain enough gold to provide for the
44	44	redemption in gold of all units of the digital currency that have
45	45	been issued and are not yet redeemed for money or gold.
46	46	(b) The trustee may establish an account in the Texas
47	47	Bullion Depository to hold gold purchased to back the digital
48	48	currency and may hold the gold otherwise as convenient for the
49	49	administration of this chapter.
50	50	Sec. 404A.0053. PURCHASE AND ISSUANCE. (a) A person may
51	51	purchase from this state through the comptroller any number of
52	52	units of the digital currency.
53	53	(b) On receiving payment for a purchase of the digital
54	54	currency together with any fee charged under Section 404A.0058, the
55	55	comptroller shall:
56	56	(1) using the money received from the purchaser, buy a
57	57	fractional number of troy ounces of gold equal to the number of
58	58	units of the digital currency issued to the purchaser under
59	59	Subdivision (2); and
60	60	(2) issue to the purchaser a number of units of the
61	61	digital currency equal to the amount of gold that the comptroller
62	62	purchases with the money received from the purchaser.
63	63	Sec. 404A.0054. REDEMPTION OF CURRENCY FOR MONEY. (a) A
64	64	person who holds the digital currency may present to the
65	65	comptroller, or a person with whom the comptroller has contracted,
66	66	or a person serving as trustee for purposes of this chapter any
67	67	number of units of the digital currency to redeem for money.
68	68	(b) On receipt of a person's request for redemption, the
69	69	comptroller, contractor, or trustee shall:
70	70	(1) sell from the gold held in the pooled depository
71	71	account a fractional number of troy ounces equal to the number of
72	72	units of the digital currency being redeemed; and
73	73	(2) provide to the person an amount of money equal to
74	74	the amount received from the sale of gold under Subdivision (1),
75	75	less a fee charged under Section 404A.0058.
76	76	Sec. 404A.0055. REDEMPTION OF CURRENCY FOR GOLD. (a) A
77	77	person who holds the digital currency may present to the
78	78	comptroller, or a person with whom the comptroller has contracted,
79	79	or a person serving as trustee for purposes of this chapter any
80	80	number of units of the digital currency to redeem for an equal
81	81	fractional number of troy ounces of gold from the pooled depository
82	82	account.
83	83	(b) On receipt of a request for redemption, the comptroller
84	84	shall:
85	85	(1) withdraw the requested number of troy ounces of
86	86	gold from the gold held in trust; and
87	87	(2) on the payment of a fee charged under Section
88	88	404A.0058, deliver the gold to the requestor.
89	89	(c) The comptroller, or a person with whom the comptroller
90	90	has contracted, or a person serving as trustee for purposes of this
91	91	chapter, may manage redemption of the digital currency for gold by
92	92	the use of bars or coins of standard sizes and may pay fractional
93	93	remainders in cash as is necessary to facilitate the transaction.
94	94	Sec. 404A.0056. VALUE OF DIGITAL CURRENCY. (a) At the time
95	95	of each transaction involving the issuance or redemption of the
96	96	digital currency, the comptroller, or a person with whom the
97	97	comptroller has contracted, or a person serving as trustee for
98	98	purposes of this chapter shall determine the value of a unit of the
99	99	digital currency.
100	100	(b) The value of a unit of the digital currency at the time
101	101	of a transaction must be equal to the value of the appropriate
102	102	fraction of a troy ounce of gold at the time of that transaction.
103	103	Sec. 404A.0057. CERTAIN MONEY AND DEPOSITS HELD IN TRUST
104	104	AND NOT SUBJECT TO LEGISLATIVE APPROPRIATION. Money received from
105	105	the purchase of the digital currency under Section 404A.0053(a),
106	106	gold purchased and held under this chapter, and money received from
107	107	the sale of gold in response to a request for redemption under
108	108	Section 404A.0054 is:
109	109	(1) held in trust by the comptroller as trustee or a
110	110	person appointed by the comptroller to serve as trustee for
111	111	purposes of this chapter outside the state treasury on the behalf of
112	112	persons who hold the digital currency; and
113	113	(2) not available for legislative appropriation.
114	114	Sec. 404A.0058. FEE. The comptroller may establish a fee
115	115	for the issuance or redemption of the digital currency at any rate
116	116	necessary to cover the costs of administering this chapter. The
117	117	comptroller shall deposit the fee proceeds to the credit of an
118	118	account established in the general revenue fund that may be used to
119	119	pay the costs.
120	120	SECTION 2. This Act takes effect September 1, 2023.