NJ lawmaker says Bitcoin market needs consumer protections

Assemblywoman Yvonne Lopez, D-Middlesex, is sponsoring legislation to create consumer protections and regulations in the virtual currency industry.

Lopez says she is a big advocate for consumer rights. But she has come to realize that many consumers do not know much about the virtual currency market.

“I wonder if people really understand what that even means,” she said.

Lopez said her proposed Digital Asset and Blockchain Technology Act would regulate the virtual currency industry without hindering its growth.

Lopez wants to establish a set of protections for consumers who delve into virtual currencies such as Bitcoin.

“It provides that applicants disclose their business information and any information that could actually be a signal to impropriety,” she said.

Under the bill, digital asset businesses must be licensed by Department of Banking and Insurance in order to operate in New Jersey, or be licensed in another state in which New Jersey has a reciprocity agreement.

In the…