Existing law makes it a crime to engage in money laundering, defined as conducting a transaction involving a monetary instrument of specified value through a financial institution with the specific intent to promote or facilitate criminal activity or knowing that the monetary instrument represents the proceeds of or is derived from the proceeds of criminal activity.
This bill would expand money laundering to include conducting a transaction involving a monetary instrument of specified value using digital financial assets, as described. The bill would make other technical, nonsubstantive changes, as provided. By expanding the scope of a crime, this bill would impose a state-mandated local program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.

Statutes affected:
SB 1208: 186.10 PEN
02/19/26 - Introduced: 186.10 PEN