Residents who have online assets in California are getting more protections thanks to an amendment to Assembly Bill 1052 (AB 1052). AB 1052, originally named “Money Transmission Act,” but legislators have modified it, focusing on Bitcoin and crypto investor protections.
The re-titled “Digital Assets” bill strives to secure self-custody rights for California’s nearly 40 million residents. Avelino Valencia, chair of the Banking and Finance Committee, led the amendments to enhance protections for crypto investors. As of this writing, AB 1052 is in the “desk process,” awaiting its first reading.
The Importance of Amending the California Bill
According to studies, approximately 99 merchants across California currently accept Bitcoin payments, with projections pointing to the market expanding. Meanwhile, prominent crypto firms like Ripple Labs, Solana Labs, and Kraken contribute to the digital assets landscape within the state.
With the increasing crypto market projections, lawmakers necessitated giving digital assets safeguards to protect California residents who own such assets. The revised legislation prohibits public entities from restricting or taxing digital assets solely based on their use as payment. Furthermore, the bill establishes that digital financial assets are valid forms of payment in private transactions.
Additionally, the bill expands the California Political Reform Act of 1974, preventing public officials from engaging in transactions involving digital assets that could create conflicts of interest.
As of this writing, AB 1052 is in the “desk process,” awaiting its first reading. Concurrently, 100 other legislators across 35 states introduced Bitcoin-related bills at the state level.
What Does the AB 1052 Mean for Crypto Casinos?
With the recent developments in cryptocurrency lawmaking in the USA, it also affects the crypto casino industry. Having a regulated market for crypto safeguards players who utilize their digital assets during their online casino sessions.
In the event that the California Bill is passed, it can set the foundation for lawmakers introducing online casino gaming.