Illinois joins Vermont and Arizona recognizing contracts created, stored, or verified on virtual blockchain ledgers.
The state Blockchain Technology Act has approved blockchain contracts for several legal applications and statutorily exempts certain uses from local taxation. The Act officially recognizes blockchain instruments as a legal alternative to paper records. Smart contracts created or maintained on blockchain ledgers are also admissible in Illinois state courts in relevant disputes.
The law reads, “A smart contract, record or signature may not be denied legal effect or enforceability solely because a blockchain was used to create, store or verify the smart contract, record or signature,"