AL HB214

Prohibits the state from restricting use or storage of digital assets, levying additional taxes on digital assets, or restricting digital asset mining operations.

Exempts transactions using digital assets valued at $200 or less from capital gains taxes, with the dollar threshold adjusted annually by the Consumer Price Index.

Prevents state and local governments from imposing zoning or noise restrictions specific to digital asset mining or imposing requirements on mining businesses different from data centers.

Exempts digital asset mining, staking, and node operation from classification as money transmission or securities under Alabama law, and protects participants from liability for validating transactions.

Becomes effective October 1, 2024, while preserving the state's ability to collect standard taxes on digital asset transactions and municipalities' authority to require business licenses.