• 12 Jun, 2025

California Assembly Opens Door to Crypto Payments

California Assembly Opens Door to Crypto Payments

Imagine using Bitcoin to handle your state fees. California has just brought it to reality. 

Administrators have approved pilot projects to allow only a few businesses to make certain government payments using digital assets. Sounds futuristic? The process has already begun. 

Assembly Bill 1180—sometimes called AB 1180—was where the journey began. Every member of the California Assembly voted in favor of it. Yes, the home team had a dominant victory, 68-0. Without any resistance, without any delay, it moved forward. 

Under the bill, a pilot program will be created. Just a test to see if cryptos can be convenient for everyday crypto transactions. The system is not accessible to all individuals. Licensed crypto businesses are currently the only ones allowed to join. 

What is the purpose of such a limit? 

For simplicity and more organization. View it as an opportunity to slowly get familiar, not as a decision you need to make suddenly. The state plans to take a gradual approach to crypto, not rush into new developments. 

Under the proposed bill, the Department of Financial Protection and Innovation (DFPI) will be responsible for the implementation of the bill. They’ll design the guidelines, establish the structure, and make sure everything runs smoothly. Fundamentally, they act as the referee of the crypto game. 

However, realize that changes will take time. 

Provided all goes as planned, the program launch would be set for 2026. The program will not remain in place forever — it is due to expire in 2031 unless a change is made. A review will be done in 2028 to observe how the project is progressing. 

Why now? 

California is monitoring the approaches and results of other states in the country. Florida, Colorado and Louisiana are among the first states to allow businesses to accept crypto payments. California wants to keep pace with the rest of the country. 

Crypto adoption is making steady progress on many other fronts too. 

AB 1052, which proposes revisions to confidentiality laws, is also getting attention. Many are referring to it as the “Bitcoin rights” bill. Why is that happening? It guarantees you can have your own crypto and use it in secret transactions. If you decide to pay a friend using Bitcoin, the government is not able to stop or tax you because it is crypto. 

This shows a pattern. A shift. California is more than just playing around with crypto. It’s starting to make a commitment. 

Statistics also supporting these statements. Around 117 merchants in California have started accepting Bitcoin, states BTC Maps. It’s more than just buzz — people are really using cryptocurrency. 

What could happen next? 

The process needs the Senate’s approval of AB 1180. Finally, the governor has to sign an executive order. If this is the case, California could head the way for crypto-friendly laws both within the United States and around the world. Even lately, Russia has also launched a government-backed crypto exchange. 

However, everyone wants to know if it will be effective. 

We’ll see what happens as the days go by. For the moment, everyone agrees — crypto payments are no longer just a concept in California. It’s stepping into the spotlight.