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Bitcoin Rights are becoming a priority as California takes a big step toward protecting Bitcoin and crypto investors by adding new safeguards to a bill that was introduced in February. The goal is to give the nearly 40 million people who live in California crypto self-custody rights.
Assembly Bill 1052 in California was first introduced on February 20, 2025, as the Money Transmission Act. But later, on March 28, 2025, Avelino Valencia, a Democrat and chairperson of the Banking and Finance Committee, amended it. He added several Bitcoin and crypto-related investor protections.
This change replaces the “Money Transmission Act” with “Digital Assets.” On March 30, Dennis Porter, CEO of the Satoshi Action Fund, said, “California has often set the blueprint for policy in the country. So, if the Bitcoin Rights bill passes here, it can pass anywhere.
“If this bill passes, it will protect the right of nearly 40 million Californians to keep their digital assets safe without fear of being discriminated against.”
New Bill Expands Crypto Payment Rights for Californians
The bill also says that using a digital financial asset as payment is legal and valid in private transactions. It also says that public organizations can’t limit or tax digital assets just because they are used as payment.
The bill would also make it illegal for a public official in California to issue, sponsor, or promote a digital asset, security, or commodity. These changes will be included in California’s Political Reform Act of 1974.
One section of AB 1052 states that it prohibits public officials from taking part in activities related to digital assets. If these activities create a conflict with their public duties, they are not allowed.
As of now, this bill is still in the “desk process.” This means the bill has been introduced and is now waiting for its first reading.
According to BTC Maps data, around 99 merchants in California currently accept Bitcoin payments. In addition to this growing adoption of Bitcoin among merchants, some of the biggest crypto companies in California are Ripple Labs, Solana Labs, and Kraken.
Although unrelated to AB 1052, another bill focusing on stablecoins was introduced in California on February 2, 2025. The goal is to clarify stablecoin collateral requirements, liquidation, redemption, settlement, and security audits. This bill is not the same as the Bitcoin Rights bill. Its only goal is to make the rules for stablecoins clearer.
US States Introduce Nearly 100 Bitcoin-Related Bills For Crypto Regulations
While California takes a leading role in setting policy, other states have also proposed various Bitcoin-related measures. According to Bitcoin Law, as of now, nearly 95 Bitcoin-related bills or measures have been introduced in about 35 states, out of which nearly 36 Bitcoin reserve bills are currently active.
The Texas Senate passed the Bitcoin strategic reserve bill by a 25-5 vote on March 6. And then on March 24, Kentucky Governor Andy Beshear signed a bill for Bitcoin rights into law.
Earlier this month, US President Donald Trump signed an order aimed at creating a strategic Bitcoin reserve and a digital asset stockpile. The first cryptocurrency to be used in both reserves will come from assets forfeited in government criminal cases. This move suggests that Bitcoin and digital assets are becoming a part of national policy conversations.
