Money laundering crime now covers crypto, and police can get warrants to seize it
For a trial period, the state money laundering crime covers transactions using digital assets, and police or prosecutors can get warrants to seize crypto from exchanges, custodians or wallets. Prosecutors then have 180 days to start forfeiture, with seized funds going to victims first.
Who it affects
People and businesses dealing in crypto, crypto exchanges, police and prosecutors
When
This law takes effect on January 1, 2027. California laws take effect on January 1 of the year after they are signed, unless the law says otherwise.
- : Signed into law
- : This law takes effect
- : Digital asset money laundering and seizure rules expire
Official text
California SB 1208: Money laundering: digital assets.
On California Legislative Information. The official text is what counts; read it before you act.
Not legal advice. Plain-English summaries to help you find what changes and when. Not legal advice: read the official text, and ask a lawyer about your situation.