On January 18, 2024, a draft, IA D 5342, was prefiled. This draft proposes to amend the current unclaimed property law by adding new sections addressing virtual currency and amending the report of abandoned property section of the current law. The changes are as follows.
Virtual Currency
- A definition for virtual currency is added to the definition section of the current law. Virtual currency is not addressed within the current law.
- Gives the treasurer power to adopt rules regarding delivery, sale, transfer, and maintenance of unclaimed property.
- Gives the treasurer the power to decline to accept virtual currency if it is not freely transferable, of no value, or will cost more to maintain/ sell than it is worth.
- Gives the treasurer the power to direct holders to sell virtual currency while reporting.
Due Diligence
- Regarding due diligence, holders of securities, brokerage accounts, or virtual currency must notify the owner that the holdings may be liquidated prior to or once the property is reported to the state and will only be able to claim the proceeds of the sale.
