Bill > SB822

This bill clarifies and updates California's Unclaimed Property Law to specifically address digital financial assets, establishing comprehensive rules for how these assets are handled when they become unclaimed. The legislation defines digital financial assets and creates new provisions for how holders of such assets must notify owners before the assets can be escheated (transferred) to the state, including requirements for sending notices via mail or electronic means at least 6-12 months before escheatment. The bill allows for a more flexible definition of an owner's last known address, including partial location identifiers, and specifies what constitutes an "act of ownership" for digital assets, such as conducting transactions or electronically accessing the account. The Controller is authorized to select specialized custodians to manage these digital assets, with specific criteria for selection, including robust cybersecurity measures and experience handling digital financial assets. When digital financial assets are escheated, the Controller may convert them to traditional currency and will protect the owner's right to claim either the original assets or the proceeds from their sale. The legislation aims to modernize unclaimed property procedures to account for the unique characteristics of digital financial assets while maintaining protections for property owners.

Budget and Finance, Justice

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260SB822