By Kelly M. Resnick, Resnick Law Offices, Bay Area (Oakland and Newark/Fremont office locations)
According to Fox News, AB 129 was just signed into law by Governor Brown. This law now legalizes so-called ‘Digital’ currencies as a medium of exchange in California. Originally introduced by Assemblyman Roger Dickinson (D-Sacramento), the new law recognizes the changing landscape of consumer transactions. Bit Coins, Amazon Coins, Starbucks Stars and other ‘crypto-currencies’ are now legal units of tender for certain debts within the state borders. According to the Bitcoin Price Index, the price of a Bitcoin shot up from $591 on Friday, June 27 to $615 on Monday, June 30.
In response to this news, Bankruptcy Trustee’s are now directly asking the Debtor if he or she owns any of these currencies when the case was filed. We can still use any remaining portion of the “wildcard” exemption (i.e. how your property is protected from liquidation in a bankruptcy, in short) so the Debtor can keep these currencies. However, it benefits the Debtor most to disclose these assets to your attorney before filing, so we can discuss if these assets are protected.
My goal is to eliminate all of your debt without you losing any property whatsoever. So long as my clients disclose everything, I can provide an accurate analysis of the events of their case once filed. I look forward to the ever changing environment of bankruptcy, and to helping you or someone you know get back on the road to financial success!