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California Begins Enforcing Crypto Licensing Law, Charging Up to $100,000 Daily Since July 1

Enforcement Actions Regulation & Policy

2026-07-23 07:02:59

California officially began enforcing its Digital Financial Assets Law (DFAL) on July 1, imposing daily civil penalties of up to $100,000 against unlicensed digital asset businesses operating with California residents. The law requires crypto exchanges, custodians, stablecoin issuers and similar service providers to obtain a license from the California Department of Financial Protection and Innovation or submit a complete application by the deadline. Firms operating in violation now face cease-and-desist orders, injunctions and additional enforcement actions.

Disclaimer: The information on this page may come from third-party sources and is for reference only. It does not represent the views or opinions of Gate and does not constitute any financial, investment, or legal advice. Virtual asset trading involves high risk. Please do not rely solely on the information on this page when making decisions. For details, see the Disclaimer.

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