The proposed bill, if enacted, would amend existing statutes related to property forfeiture to include specific provisions for digital assets. Currently, the law allows for the forfeiture of property if it is connected to criminal activity, but the bill would explicitly allow courts to order the forfeiture of digital assets used in, acquired through, or traceable to such offenses. It introduces new procedures for the seizure and sale of these digital assets, including the requirement for sales to occur through state-approved platforms to ensure transparency and accurate valuation. Additionally, the bill establishes the Bitcoin and Digital Assets Reserve Fund, which would be managed by the State Treasurer to securely store and allocate forfeited digital assets.

The bill also outlines the allocation of proceeds from the sale of forfeited digital assets, specifying that the first $300,000 goes to the Office of the Attorney General, with any excess divided between the Attorney General's office, the state General Fund, and the newly created reserve fund. Furthermore, it defines "digital asset" to encompass virtual currencies, cryptocurrencies, and other digital-only assets, and mandates that seized digital assets be stored in secure digital wallets managed by authorized personnel. Overall, these updates aim to modernize the forfeiture process to accommodate the growing prevalence of digital assets in criminal activities.

Statutes affected:
Introduced Version: 44-337
House Engrossed Version: 13-4301, 13-4304, 13-4305, 13-4315, 41-180, 47-9102, 13-105, 13-3413, 13-3401, 13-2314, 13-3911, 13-3912, 13-3913, 13-3914, 13-3915, 13-4313, 13-2314.01, 13-2314.03, 13-4310
Senate Engrossed Version: 13-4301, 13-4304, 13-4305, 13-4315, 41-180, 47-9102, 13-105, 13-3413, 13-3401, 13-2314, 13-3911, 13-3912, 13-3913, 13-3914, 13-3915, 13-4313, 13-2314.01, 13-2314.03, 13-4310