California Greenlights Crypto Payments for State Services in Unanimous AB 1180 Vote

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On June 2, the California State Assembly voted unanimously (68-0) to pass AB 1180. The bill allows state agencies to accept cryptocurrency payments under the Digital Financial Assets Law (DFAL).

Lawmakers streamlined the bill by cutting ride-sharing rules, clearing its path to the Senate. If the Senate approves it and the Governor signs it, crypto payments could become official by July 1, 2026.

What Does AB 1180 Mean for Crypto in California?

AB 1180 directs California’s Department of Financial Protection and Innovation (DFPI) to create rules letting residents pay taxes, fees, and other state charges with cryptocurrency.

The DFPI must also conduct a pilot program until January 1, 2031, and submit a progress report by 2028, tracking transaction numbers and any challenges encountered.

https://twitter.com/CryptoCoinShow/status/1930216034893443444

If approved, California would join Colorado, Florida, and Louisiana in accepting cryptocurrency as a form of payment for government services.

However, adoption in the most populous U.S. state could quickly surpass these examples. According to BTC Maps, 117 California businesses already accept Bitcoin, and the state has more than 2,000 Bitcoin ATMs, indicating a clear demand for broader cryptocurrency acceptance.

Assembly member Avelino Valencia, the author of AB 1180, also introduced AB 1052, known as the “Bitcoin Rights” bill.

On May 23, it passed its first committee vote unanimously (11-0).

The bill ensures that Californians can self-custody their cryptocurrency, prevents state or local governments from imposing additional taxes on digital payments, and updates rules for unclaimed assets and protections for hardware wallets.

Support for both bills is growing.

A February survey by Coinbase revealed that 78% of California crypto holders, about four out of five, plan to vote for candidates who support digital asset innovation. This provides lawmakers with a strong incentive to adopt policies that are crypto-friendly.

How Proactive Regulation Is Fueling Crypto Adoption Worldwide

U.S. states are racing to shape crypto rules, and New York aims to lead the pack. At the Bitcoin 2025 Conference on May 28, Mayor Eric Adams vowed to push state lawmakers to allow New York City to issue “BitBond” (a Bitcoin-backed municipal bond) and repeal the expensive BitLicense introduced in 2015.

Under the proposed model, 90% of bond proceeds would fund infrastructure, 10% would buy Bitcoin, and investors would earn 1% yearly interest plus potential gains if Bitcoin’s price rises.

Adams believes ditching BitLicense for market-friendly solutions will help Wall Street stay competitive as governments worldwide stockpile crypto and refine policies.

A global trend that is already visible.

In Brazil, Binance has integrated with the Pix instant payment system, letting millions pay everyday bills in over 100 cryptocurrencies that auto-convert to reais at checkout.

Colombia is piloting a central bank digital currency (CBDC) on the Cosmos network, using national validators to cut cross-border transfer costs while preserving sovereign control.

Meanwhile, Australia’s focus is now on consumer safety. Authorities have capped crypto ATM deposits at A$5,000 and require real-time monitoring and scam warnings.

These moves prove governments aren’t just reacting to crypto, they’re steering its future.

About Jimmy Aki PRO INVESTOR

Based in the UK, Jimmy is an economic researcher with outstanding hands-on and heads-on experience in Macroeconomic finance analysis, forecasting and planning. He has honed his skills having worked cross-continental as a finance analyst, which gives him inter-cultural experience. He currently has a strong passion for regulation and macroeconomic trends as it allows him peek under the global bonnet to see how the world works.