The X social media accounts of Marty Bent and Matt Odell’s popular podcast Tales from The Crypt (TFTC) have won 1.2 million views due to highly inaccurate tweets about Bitcoin (BTC).
California “passed” a bill to “seize Idol on the exchange that took over the BTC,” according to Podcasters. The misinformation alleged that the state could somehow assert the title of “unclaimed property” “after three years of inactivity.”
The post was not entirely true.
What actually happened is much narrower and less interesting.
Congressional Bill 1052 passed the California Legislature this week. that Simply apply existing, unclaimed property laws to digital assets About exchange or other management platforms.
Rather than a new law allowing states to confiscate assets or deem them “abandoned,” AB 1052 simply harmonizes digital assets within the same legal framework as traditional assets such as bank accounts and safety deposit boxes.
False information about abandoned bitcoin
If a user has not performed “acts of ownership” (such as conduct of transactions, access to accounts, access to property recognition, etc.) for three years, then under existing California unclaimed property laws that have not changed this week, the assets may be transferred to state custody under certain circumstances as unclaimed property.
As a general reminder, the passage of the bill from the California Legislature to the Senate has not enacted a new law. US state laws exist only after passing both Houses of Congress and obtaining the Governor’s signature.
Contrary to the TFTC’s misinformation, California may not seize abandoned BTC for its own profit. Existing laws require that the state retain unclaimed assets in their original form and do not settle them into cash.
Again, AB 1052 extends that requirement to digital assets. This means that states must retain BTC, ETH or other digital assets without liquidating them in USD.
A legitimate owner can always regain the property by proof of his or her identity and ownership.
Read more: Analysis: Mapping of Donald Trump’s Growing Crypto Empire
Additionally, custodians like exchanges must try to contact their owners multiple times before transferring abandoned assets to the state. Only if the owner remains unresponsive, the custodian can offload any property to the state and retain additional time.
No additional comments More than 9 hours laterTFTC embed “corrections” under the original incorrect information about BTC. I did not delete the original completely inaccurate posts.
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