AR HB1888

Defines "virtual currency" as a digital representation of value that functions as a medium of exchange, unit of account, or store of value, often secured using blockchain technology, and adds it to Arkansas's Uniform Commercial Code definitions.

Establishes that a purchaser has control of virtual currency when they have the power to derive substantially all benefits from it and the exclusive power to prevent others from accessing it or to transfer control to another person.

Allows purchasers to be identified by name, identifying number, cryptographic key, office number, or account number for purposes of establishing control.

Protects purchasers who acquire virtual currency for value and without notice of adverse claims by allowing them to take ownership free of any adverse claims, except when the purchaser has knowledge of or deliberately avoids information about such claims.

Establishes that it is a violation of ownership rights for another person to hold, transfer, or deal with virtual currency in violation of the owner's rights, and prohibits adverse claim actions against purchasers who obtain control without notice of such claims.