A California lawmaker has added Bitcoin and crypto investor protections to Assembly Bill 1052, originally introduced as the Money Transmission Act on Feb. 20, 2025.
Democrat Avelino Valencia, chair of the Banking and Finance Committee, amended the bill on March 28, renaming it “Digital Assets” and strengthening crypto self-custody rights.
The bill seeks to legitimize digital assets as a legal form of payment in private transactions and prohibits public entities from restricting or taxing them solely based on payment use. It also expands California’s Political Reform Act of 1974, preventing public officials from promoting or investing in digital assets if it creates conflicts of interest.
Satoshi Action Fund CEO Dennis Porter emphasized California’s influence, stating, “California often sets the national blueprint for policy, and if Bitcoin Rights passes here, it can pass anywhere” The bill is now in the “desk process,” awaiting its first reading.
As of now, there are only 99 merchants in California that accept bitcoins, as per BTC Maps. It is home to some of the leading crypto firms, such as Ripple Labs, Solana Labs, and Kraken.
However, another bill regarding stablecoins was proposed on February 2, which seeks to define stablecoin collateral, its liquidation, and security audits. Currently, there are 95 bills on Bitcoin in 35 states; 36 of them are Bitcoin reserve bills in the United States.
Texas passed a Bitcoin reserve bill in the recent past, and Kentucky Governor Andy Beshear signed the Bitcoin Rights bill. On the national level, the President of the United States of America signed an order to create a Strategic Bitcoin Reserve.
Also Read: Bitcoin Price May See Chaos Amid Trump Tariff Threats: Forbes
