California moves ahead with SB 822, clarifying virtual currencies under Unclaimed Property Law to ensure regulatory consistency.
- California progresses on SB 822, led by Senator Josh Becker.
- Bill explicitly includes virtual currencies as unclaimed property.
- Reflects broader legislative momentum in digital asset governance.
California Senate Bill 822, pioneered by Senator Josh Becker, advances to the state assembly on May 29, 2025, aiming to clarify the inclusion of digital assets under unclaimed property law.
The legislation seeks to explicitly include cryptocurrencies within existing laws, potentially impacting asset custodianship and compliance with state policies.
SB 822 Seeks Legal Clarity for Digital Assets
California Senate advances a bill to explicitly include digital assets in unclaimed property laws. Senator Josh Becker, key sponsor, introduced the bill in February 2025. The proposal now awaits assembly review.
Senator Becker emphasized the need to clear up confusion around virtual currencies under state law. The bill mirrors others, ensuring state-level regulatory clarity for cryptocurrencies.
Custodians to Face New Compliance Requirements
The bill could affect custodial platforms holding digital assets, requiring effective compliance measures. The decision directly impacts Bitcoin, Ethereum, and similar assets stored by California residents.
Initial reactions highlight its potential to bring regulatory consistency. Experts project minimal technical disruption, instead anticipating an increase in compliance-related measures for asset custodians.
Regulatory Precedents in Digital Asset Laws
Similar legislative initiatives in other states have aimed at regulating digital assets akin to traditional financial holdings. Historical precedents show minor operational shifts for custodial platforms.
Potential outcomes include reinforcing custodial reporting duties. As seen in earlier cases, the initiative ensures better alignment with progressive financial regulations, potentially easing asset recovery for consumers.
Senator Josh Becker, California State Senator, “If a financial asset is left untouched for a certain period, it’s considered Unclaimed Property under California law. This law already covers a wide range of assets, like bank accounts, stocks, insurance policies, and trusts. That coverage is understood to include virtual currencies as well. SB 822 updates California’s Unclaimed Property Law to make that inclusion explicit. While much of the bill aligns with how other types of property are already handled, it helps clear up any confusion and ensures virtual currencies are treated consistently.” Source
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