California's Assembly is making significant strides toward cryptocurrency regulation with the introduction of AB-1052, led by Democrat Avelino Valencia, focusing on protecting digital asset users.
Core Provisions of AB-1052
The AB-1052 bill, proposed by Democrat Avelino Valencia, fortifies the right to self-custody of Bitcoin and other digital assets, safeguarding users' ability to manage their digital property without government interference. The bill also prohibits public agencies from imposing taxes or restrictions based solely on the use of these assets in transactions.
Interim Amendments and Bill Status
Amendments to the bill were made on March 28th, following the initial February introduction. The bill is currently in the 'desk process' and awaiting its first reading in the Assembly. If enacted, AB-1052's legal framework will protect self-custody rights for both investors and users in California, with an estimated population of 40 million residents.
Bitcoin Reserve Legislative Initiatives in Other States
Several US states are advancing legislation aimed at incorporating Bitcoin into state reserves. Data suggest that 95 Bitcoin-related bills have been proposed across 35 states, with 36 of those bills still active. Arizona, Oklahoma, and Texas are among the states pursuing ongoing efforts.
If passed, AB-1052 would bring significant changes to cryptocurrency regulation in California and could impact the broader digital asset industry in the US.
