California's State Assembly has unanimously approved a bill that would allow government departments to accept cryptocurrency payments. Assembly Bill 1180, introduced by Avelino Valencia, passed with a 68-0 vote and will now be reviewed by the State Senate.

If enacted, the law would require the Department of Financial Protection and Innovation to establish regulations enabling crypto payments for state services. A pilot programme would run until 1 January 2031, with full implementation beginning on 1 July 2026.

The department would also be required to report on transaction volumes and any technical challenges by 2028.

The bill targets digital assets under existing law, after dropping transport-related clauses, aiming to align California with states like Florida and Colorado on crypto payments.

AB 1180 complements a separate proposal, AB 1052, which seeks to protect the private use of digital assets and enshrine the right to self-custody. The rising interest in such legislation reflects growing political and public support for cryptocurrencies across the state.

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