Texas House Bill HB3110

Texas 2025 - 89th Regular

• Filed: 2/20/25

Caption

Relating to civil asset forfeiture of digital currency or other similar property.

Impact

The changes made by HB3110 would impact statutes regarding the seizure and forfeiture of property by law enforcement. It establishes a framework for how digital assets are to be treated in forfeiture proceedings, including the requirement that seized assets be transferred to secure wallets not connected to the internet. This adjustment seeks to protect the integrity of digital evidence and prevent unauthorized access or tampering. The bill emphasizes the need for clear protocols to manage and safeguard digital currencies in situations of seizure, thus promoting accountability within law enforcement agencies.

Summary

House Bill 3110 addresses the civil asset forfeiture process specifically concerning digital currencies and similar assets. The bill amends the Texas Code of Criminal Procedure to include digital currencies, non-fungible tokens (NFTs), and stablecoins under the definition of contraband. This inclusion reflects a growing recognition of digital assets in law enforcement practices, adapting state laws to present-day financial technologies. By specifying these assets, the bill aims to clarify how seizures of digital property can be handled legally, particularly in cases involving alleged criminal activity.

Contention

Notable points of contention surrounding HB3110 may include concerns over individual rights related to property and due process in the context of asset forfeiture. Critics might argue that the inclusion of digital assets opens new avenues for potential abuse, where assets could be seized without sufficient evidence of wrongdoing. There may also be discussions regarding the procedures necessary to establish probable cause and the oversight mechanisms required to ensure that the rights of property owners are adequately protected during forfeiture actions involving digital assets. As the legislation evolves, these discussions will be critical in shaping how the bill is received by both the public and legislators.

Texas Constitutional Statutes Affected

Code Of Criminal Procedure

• Chapter 59. Forfeiture Of Contraband
  • Section: New Section
  • Section: 12