California is one step closer to embracing crypto for state transactions. On June 2, Assembly Bill 1180 (AB 1180) was unanimously approved by the California State Assembly with a vote of 68-0. The bill will be considered by the Senate for additional approval.
If signed into law, AB 1180 will allow state departments to accept digital assets, like Bitcoin, for payments related to the Digital Financial Assets Law (DFAL). The law would take effect on July 1, 2026, if it gets the green light from the Senate and Governor Gavin Newsom.
đşđ¸ JUST IN: California Assembly passes bill to allow the state to receive payments in Bitcoin and digital currencies.
It passed 68-0, and now heads to the Senate. pic.twitter.com/3JWXlpuEWh
â Bitcoin Laws (@Bitcoin_Laws) June 3, 2025
The bill requires Californiaâs Department of Financial Protection and Innovation (DFPI) to create rules for accepting crypto payments. The pilot program will last until January 1, 2031. DFPI will deliver a report in 2028 that covers all crypto transactions and the difficulties they found.
AB 1180 is designed to complement another proposed bill, AB 1052âdubbed the âBitcoin rightsâ bill. This bill supports crypto self-custody rights and aims to protect private crypto payments from government interference or extra taxes. It passed its first committee stage on May 23 with an 11-0 vote.
As of now, 117 California merchants already accept Bitcoin, according to BTC Maps. With nearly 40 million residents, Californiaâs embrace of crypto could have a big impact.
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