On June 30, 2021, Delaware’s Governor signed into law Senate Bill 103, which adds “virtual currency” to the definition of “property” subject to the reporting and remitting requirements of Delaware’s unclaimed property law. “Virtual currency” is “a digital representation of value, including cryptocurrency, used as a medium of exchange, a unit of account, or a store of value that does not have legal tender status recognized by the United States.” However, virtual currency excludes the software or protocols governing the transfer, game-related digital content (digital content that exists only in a game or game platform), and loyalty cards.
Effective August 1, 2021, “virtual currency” is presumed abandoned 5 years after the owner’s last indication of interest in property. At that point, the holder of the abandoned virtual currency must report it to Delaware as unclaimed property. Within 90 days prior to filing the report, the holder of the virtual currency must liquidate the virtual currency and remit the proceeds. The owner of the virtual currency has no recourse against the Delaware Escheator to recover gains in value that would have been realized had the virtual currency not been liquidated.