Proposed California Bitcoin Bill amended to include new reporting requirements

The California Bitcoin Bill or the Virtual Currency Act (AB 1326), penned by Assemblyman Matt Dababneh, has been voted 6-1 by the California Senate Appropriations Committee, with Senator Jim Nielsen, a Republican from California's Fourth District, casting the only vote against the bill.

On Monday, the bill received a second reading and a third reading has been scheduled on a later date.

On 18th August, the bill was amended and now includes a passage that would add new reporting requirements to licensed businesses beyond existing language that mandates annual and quarterly financial audits, as reported by CoinDesk.

The bill reads:

"Each licensee shall file an annual report with the commissioner, on or before the 15th day of March, providing the relevant information that the commissioner reasonably requires concerning the business and operations conducted by the licensee within the state during the preceding calendar year. Each licensee shall also make other special reports to the commissioner that may be required by the commissioner from time to time."

New language was also added to a passage that describes how the state would evaluate companies seeking provisional license.

"The bill would authorize the commissioner to request reports and documents, to examine the provisional licensee, and gather information regarding the business and operations of provisional licensees," the text reads. "The bill would require reports and documents concerning the business and operations of provisional licensees to be kept confidential."

If passed and signed into law, the bill would take effect on 1st July 2016.