California Crypto Licensing Law Targeted for Delay Until 2026

A California lawmaker is seeking a one-year delay in the state’s cryptocurrency licensing law as the state’s financial regulator attempts to implement a new regulatory framework amid the state’s massive budget deficit.

Assemblymember Tim Grayson (D), who authored the law, backs the bill (AB 1934) to delay the licensing requirements to July 2026 as lawmakers this year balanced a $47 billion budget deficit with various spending cuts. California dominates the nation’s cryptocurrency industry, and it joined New York last year as the only states to have licensing regimes for the global $2.2 trillion market.

The state legislature has ...