HB1918 updates Arkansas law on specie and legal tender, authorizing the use of bullion depositories and a precious-metals-backed electronic payment system. The act defines terms such as bullion, specie, and transactional gold and silver, and allows gold and silver to be used as legal tender for private debts, taxes, and fees if accepted by the receiving government. It exempts the exchange or sale of specie from taxation, and clarifies that such assets are not personal property for tax or regulatory purposes. The Chief Fiscal Officer must establish rules for approving depositories and electronic payment vendors, ensuring security, fraud prevention, and fair conversion between bullion and dollars.
The Arkansas State Senate passed HB1918 on April 14, 2025 by a vote of 33 to 0. We have assigned pluses to the ayes because this bill is an important step toward restoring sound, constitutional money and reestablishing the role of gold and silver as legal tender, in accordance with Article I, Section 10 of the U.S. Constitution.
United States Constitution
Article I Section 10
No State shall enter into any Treaty, Alliance, or Confederation; grant Letters of Marque and Reprisal; coin Money; emit Bills of Credit; make any Thing but gold and silver Coin a Tender in Payment of Debts; pass any Bill of Attainder, ex post facto Law, or Law impairing the Obligation of Contracts, or grant any Title of Nobility.
No State shall, without the Consent of the Congress, lay any Imposts or Duties on Imports or Exports, except what may be absolutely necessary for executing it's inspection Laws: and the net Produce of all Duties and Imposts, laid by any State on Imports or Exports, shall be for the Use of the Treasury of the United States; and all such Laws shall be subject to the Revision and Controul of the Congress.
No State shall, without the Consent of Congress, lay any Duty of Tonnage, keep Troops, or Ships of War in time of Peace, enter into any Agreement or Compact with another State, or with a foreign Power, or engage in War, unless actually invaded, or in such imminent Danger as will not admit of delay.
United States Constitution
Fifth Amendment
No person shall be held to answer for a capital, or otherwise infamous crime, unless on a presentment or indictment of a Grand Jury, except in cases arising in the land or naval forces, or in the Militia, when in actual service in time of War or public danger; nor shall any person be subject for the same offence to be twice put in jeopardy of life or limb; nor shall be compelled in any criminal case to be a witness against himself, nor be deprived of life, liberty, or property, without due process of law; nor shall private property be taken for public use, without just compensation.
