Senate approves FAST Act allowing state use of specified stable tokens for payments

Summary

The Senate passed the FAST Act (SB560), which permits the state to pay vendors using authorized stable tokens if vendors consent and establishes treasurer responsibilities including an authorized token list, quarterly attestations, monthly reserve reports and an annual report to the joint committee on government and finance; vote was unanimous (34–0).

The West Virginia Senate approved the Financial Accountability Stable Token (FAST) Act on Feb. 24, a measure that would give the state an additional option to pay vendors in specified stable tokens if vendors agree to accept them.

Junior senator from the sixteenth (the sponsor) told the Senate the bill defines an eligible "stable token" as a U.S.-chartered corporate-issued digital asset fully backed one-to-one by U.S. dollars or short-term Treasury obligations, redeemable at par, subject to quarterly independent attestations, and accompanied by monthly reserve reports. The bill authorizes the state treasurer to maintain and publish an authorized list of stable tokens, promulgate rules, charge fees to cover administrative expenses, and file an annual report to the Joint Committee on Government and Finance.

Sponsor emphasized that no vendor could be forced to accept stable tokens and that the treasurer has discretion to refuse tokens that do not meet the statutory standards. The bill was presented as creating an additional payment mechanism rather than mandating adoption.

The Senate passed SB560 by voice and recorded vote (34–0). The clerk will communicate the action to the House for consideration.