Bill Text: CA AB2689 | 2021-2022 | Regular Session | Introduced
Bill Title: Virtual currency: payment for goods and services.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2022-04-18 - In committee: Hearing for testimony only. [AB2689 Detail]
Download: California-2021-AB2689-Introduced.html
CALIFORNIA LEGISLATURE—
2021–2022 REGULAR SESSION
Assembly Bill
No. 2689
| Introduced by Assembly Member Cunningham |
February 18, 2022 |
An act to add Part 5.6 (commencing with Section 7200) to Division 4 of the Civil Code, relating to virtual currency.
LEGISLATIVE COUNSEL'S DIGEST
AB 2689, as introduced, Cunningham.
Virtual currency: payment for goods and services.
Existing law generally prohibits a person from engaging in the business of money transmission without a license from the Commissioner of Business Oversight. Existing law defines money transmission as selling or issuing payment instruments, selling or issuing stored value, and receiving money for transmission. Existing law, the Uniform Commercial Code, among other things, regulates the issuance and transfer of securities and prescribes rules pursuant to which entitlements for securities held by a securities intermediary are to be determined. Existing law prohibits a corporation, social purpose corporation, association, or individual from issuing or putting in circulation, as money, anything but the lawful money of the United States.
This bill would authorize a private or public entity in the state to accept virtual currency, as defined, as a method
of payment for the provision of any good or service, including any governmental service. The bill would define public entity for these purposes to include the state and every state entity, including the Legislature, the judicial branch, the University of California, and the California State University, and a political subdivision of the state, including a city, county, city and county, charter city, charter county, school district, community college district, joint powers authority, joint powers agency, and any public agency, authority, board, commission, or district.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOBill Text
The people of the State of California do enact as follows:
SECTION 1.
Part 5.6 (commencing with Section 7200) is added to Division 4 of the Civil Code, to read:PART 5.6. Virtual Currency
7200.
(a) Notwithstanding Section 107 of the Corporations Code, a private or public entity in the state may accept virtual currency as a method of payment for the provision of any good or service, including any governmental service.(b) For purposes of this section, the following shall apply:
(1) “Public entity” includes all of the following:
(A) The state and every state entity, including, but not limited to, the Legislature, the judicial branch, the University of California, and the California State University.
(B) A political subdivision of the state, or
agency or instrumentality of the state or subdivision of the state, including, but not limited to, a city, county, city and county, charter city, charter county, school district, community college district, joint powers authority, joint powers agency, and any public agency, authority, board, commission, or district.
(2) “Virtual currency” means a digital representation of value that functions as a medium of exchange, unit of account, or store of value, and is often secured using blockchain technology.
