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California advances Bitcoin rights bill protecting self-custody

California advances Bitcoin rights bill protecting self-custody

GrafaGrafa2025/03/31 06:30
By:Mahathir Bayena

California’s legislature has introduced a landmark bill to safeguard digital asset rights, including self-custody protections for Bitcoin (CRYPTO:BTC) and other cryptocurrencies.

The proposed legislation, AB-1052, aims to shield users from penalties tied to crypto payments and establish frameworks for handling unclaimed digital property.

Introduced by Assemblymember Juan Carrillo Valencia, chair of the Banking and Finance Committee, the bill explicitly affirms the right to self-custody Bitcoin and prohibits public agencies from imposing taxes or restrictions solely based on asset use in transactions.

It also modifies the Political Reform Act of 1974 to bar public officials from issuing or promoting digital assets, securities, or commodities—a move designed to prevent political influence over emerging financial technologies. 

A key provision addresses unclaimed digital property, mandating that such assets be secured by licensed custodians rather than left in administrative limbo.

Advocates argue this ensures clarity and security for users.

The bill’s supporters, including nonprofit advocacy group Satoshi Action Fund, emphasise its role in defending property rights in the digital economy.

“This is an important step forward for bitcoin and digital asset rights. We must ensure that innovative technologies remain accessible to individuals,” stated Dennis Porter, CEO of Satoshi Action Fund.

If passed, the legislation could set a precedent for other jurisdictions.

Advocates suggest its adoption may spur national discussions on regulatory frameworks and encourage states to pursue similar measures.

At the time of reporting, the Bitcoin (BTC) price was $82,126.17.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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