On June 3, the California State Assembly voted 78-0 to pass AB 1180, a bill allowing state agencies to accept Bitcoin and other digital assets for regulatory fees. This move positions California at the forefront of digital-asset innovation. (Source: CryptoSlate, June 3)
The bill, authored by Assemblymember Avelino Valencia, is now with the Senate Rules Committee. If enacted, the Department of Financial Protection and Innovation will develop rules for businesses to pay fees using digital assets. The pilot program is scheduled to start on July 1, 2026, and continue until January 1, 2031.
The program will convert digital payments into U.S. dollars to avoid market volatility. By January 2028, the DFPI will submit a report evaluating the system's effectiveness. This initiative follows similar moves by Colorado, Utah, and Louisiana.
The bill is particularly relevant to California's crypto sector, which includes major companies like Ripple and Solana Labs. Crypto payment processors such as BitPay and Coinbase Commerce are potential contenders for a state contract. Consumer groups have raised concerns about transaction fees and environmental impact.
AB 1180 is part of a broader legislative effort by Valencia, including the "Bitcoin Rights" bill, AB 1052. The Senate is expected to consider AB 1180 later this summer. If approved, the DFPI will begin developing the payment system in 2026.