Alternative forms of currency are now legal to use in California.
California just legalized virtual currency.
The new law was signed by Gov. Jerry Brown on June 28, repealing previous legislation that limited the use of any currency but “the lawful money of the United States." Currencies like Bitcoin and Dogecoin are now explicitly legal to use in California.
The bill was introduced by Assembly Member Roger Dickinson, who wrote earlier in the month that it “is impractical to ignore the growing use of cash alternatives. This bill is intended to fine-tune current law to address Californians’ payment habits in the mobile and digital fields.”
The Internal Revenue Service stated in March that it would treat Bitcoin as a form of property, making a currency like Bitcoin subject to the same tax rules applied to stock and barter transactions.