The California Assembly has unanimously passed Bill AB-1052, allowing the state to take custody of cryptocurrency assets that have been inactive on exchanges for more than three years. Passed by a 78-0 vote, the bill classifies such assets as “untraded” and subjects them to escheatment laws, meaning the state may temporarily take control under licensed custodians.
Analysts like Eric Peterson from the Satoshi Action Fund argue the bill enhances consumer protection without excessive regulatory interference. However, sceptics worry that, like many laws before it, this one could disproportionately affect ordinary holders while doing little to address systemic corruption.
My Point
Don’t trust these so-called analysts—they may well become the very licensed custodians entrusted with managing the state's seized crypto (to benefits from such legislation). Fortunately the bill does not affect self-custodied crypto—nor could it. For Californians, the safest route remains self-custody, and not any centralized platform vulnerable to state interference.
