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California just made a historic move—it's now the first U.S. state to protect unclaimed crypto from getting liquidated by the government.
Here's what changed: Under the new SB 822 law, if your crypto gets deemed "unclaimed" by the state, they can't just convert it to cash anymore. Instead, they have to hold it in its original form—whether that's BTC, ETH, or whatever token you had.
This is actually huge. Traditionally, unclaimed assets get converted to USD. But crypto is different—it's volatile, it has utility, and forcing a liquidation could tank your holdings' value. California gets it now.
Expects other states will follow suit once they see how this plays out. It's a signal that governments are finally starting to respect digital property rights and understand how different crypto is from traditional assets.