California Passes Bill That Would Let State SEIZE Your Bitcoin

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California has just come up with a novel new way to steal from its citizens.

On Tuesday, the California State Assembly unanimously passed a bill that would let the state seize unclaimed cryptocurrency from exchanges after a period of three years of inactivity.

Basically, if you don’t interact with your Bitcoin or login to your exchange account for three years, the bill would allow the California government to take it.

It’s now headed to the Senate.

See for yourself:

The Street reported:

The California State Assembly has passed Assembly Bill (AB) 1052 with a 69-0 vote that mandates the state to seize Bitcoin and other cryptocurrencies left unclaimed for 3 years.

Now, the Senate will vote on the bill.

Introduced by Democrat member Avelino Valencia, the bill includes digital assets, including virtual currencies, cryptocurrencies, or other digital-only assets in the already existing list of traditional assets such as bank accounts and safe deposits within the legal framework.

To put it simply, the bill, once passed, allows the state of California to seize cryptocurrencies left unclaimed on exchanges for 3 years, which can then be claimed by their owners.

Notably, the bill earlier mentioned crypto self-custody provisions which have been deleted.

Now, proponents of the bill say that it’s actually a good thing.

You see, California isn’t taking your crypto; instead, they’re just storing it for you.

Keeping it safe, until you claim it.

Per Decrypt:

Proponents of the bill say that it allows for unclaimed Bitcoin and other digital assets to not be liquidated by the state, but rather held by a custodian for customers to reclaim later—so there’s no risk that an investor’s tokens could be sold at a loss without their consent.

Under Assembly Bill 1052, which aims to broadly regulate digital asset payments and crypto business activities in California, cryptocurrency holders must perform “an act of ownership interest” at least once every three years to prevent their tokens from becoming the state’s property. Those acts would include conducting transactions involving their digital asset accounts or at least electronically accessing their accounts, among other qualifying actions.

However, let me ask you: do you really expect a state as corrupt as California to just “hold on” to your Bitcoin?

I think the answer is a resounding NO.

California Wants to SEIZE Your Bitcoin

AB 1052 just passed 78–0 — giving the state power to take “unclaimed” crypto from exchanges after just 3 years of inactivity.

No hacks. No fraud. Just you not logging in.

They claim the assets won’t be liquidated — only “held” by a custodian. But when has California ever grabbed your property and not used it?

Miss 3 years = lose your rights

Now heading to the Senate ‍

Applies to any crypto on centralized exchanges

Critics call it a land grab. Lawmakers call it “protection.”

Do you trust California with your crypto?

 



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