CRYPTO LAW PROFILE

South Dakota Digital Currency Search and Seizure Amendments

South Dakota SB 43 amends criminal-procedure search-and-seizure provisions so property includes digital currency and defines digital currency for Chapter 23A-35. Signed in March 2026; effective July 1, 2026.

USUS-SDEnacted§ ActEffective 2026-07-01
IDENTIFIERSouth Dakota SB 43 (2026)
ENACTED2026-03-11
LAST VERIFIED2026-06-09
SUMMARY

At a glance

Status

Enacted; scheduled to become operative July 1, 2026.

Scope

Dormancy

Administrator

LEGISLATIVE RECORD

Bill details

Bill numberSB 43
Session2026
ChamberSenate
Legislative stageEnacted
LATEST ACTION2026-03-12Official record ↗
SPONSORSenate Judiciary Chair at request of Attorney GeneralUnknown
SOURCEState legislatureSD Legislature bill 26756; SB 43 (2026)Official bill page ↗
EXPLAINER

Overview

The Digital Currency Search and Seizure Amendments are South Dakota’s 2026 Senate Bill 43, an enacted state act addressing how digital currency fits within the state’s criminal-procedure search-and-seizure framework. As of June 9, 2026, the measure is enacted but not yet operative; the enrolled act does not state a special effective date or emergency clause, so the general South Dakota effective-date rule points to July 1, 2026. The measure amends Chapter 23A-35, the chapter governing search warrants, rather than creating a licensing, investment, tax, or consumer-disclosure framework.

The official title is “An Act to address search and seizure provisions applicable to digital currency.” The bill was introduced at the request of the Attorney General, passed the Senate and House during the 2026 regular session, and was reported in the official bill history as signed by the Governor on March 11, 2026.

Key Provisions of the Digital Currency Search and Seizure Amendments

SB 43 makes two targeted changes to South Dakota criminal procedure. First, it amends SDCL § 23A-35-14 so that, for the search-warrant chapter, “property” includes documents, books, papers, digital currency, and other tangible objects. This places digital currency expressly inside the chapter’s property language for search-and-seizure purposes.

Second, the act adds a definition of “digital currency” to Chapter 23A-35. The definition covers a digital representation of value recorded on a cryptographically secured distributed ledger or other medium of exchange, including blockchain or similar technology. That definition is narrower than a full digital-asset regulatory regime: it is tied to the criminal-procedure chapter and to search-and-seizure context.

  • Primary legal area: search warrants, property, and criminal procedure.
  • Asset coverage: digital currency recorded on a cryptographically secured distributed ledger or similar medium.
  • Regulatory posture: no exchange licensing, market-structure, tax-reporting, or investment framework is created by the act.

Jurisdictional Impact in South Dakota

The amendments matter because law-enforcement and court processes often depend on whether an item can be described as searchable or seizable property under the relevant statute. SB 43 does not itself determine whether any particular seizure is valid, nor does it remove constitutional or statutory limits that may apply to a search warrant. Instead, the bill clarifies that digital currency is included in the property terminology used by South Dakota’s search-warrant chapter.

The act also preserves the chapter’s existing statement that Chapter 23A-35 does not modify inconsistent provisions of the code that regulate search, seizure, and the issuance or execution of search warrants when a special provision applies. That language keeps the amendment focused on the Chapter 23A-35 framework and avoids presenting the bill as a standalone forfeiture code.

Status and Timeline

SB 43 was first read in the South Dakota Senate and referred to Senate Judiciary on January 13, 2026. Senate Judiciary passed the bill 6-0 on January 15, and the Senate passed it 32-0 on January 16. The House Judiciary Committee passed the bill 11-0 on March 2, and the House passed it 65-1 on March 3. The bill history reports the Governor signed the act on March 11, with the action recorded on March 12.

Because the enrolled act contains no express emergency clause or operative date, South Dakota’s default rule for regular-session acts is relevant for editors tracking the statute. The state constitution prevents acts from taking effect until 90 days after adjournment unless an emergency clause is used, and SDCL § 2-14-16 generally sets July 1 as the effective date for regular-session acts that do not prescribe a date. This profile should be reviewed on July 1, 2026, to update the status from Enacted to Effective if the codified text confirms operation.

Crypto Law Tracking Notes

Status and timeline

2026-01-13First read in Senate
2026-01-15Senate Judiciary do-pass vote
2026-01-16Senate passes SB 43
2026-03-03House passes SB 43
2026-03-12Governor signature recorded
WHAT IT DOES

Key provisions

Digital currency treated as property

Amends SDCL § 23A-35-14 so property for the search-warrant chapter includes documents, books, papers, digital currency, and tangible objects.

EnforcementEffective 2026-07-01Source ↗

Definition added to Chapter 23A-35

Defines digital currency as a digital representation of value recorded on a cryptographically secured distributed ledger or other exchange medium.

DefinitionsEffective 2026-07-01Source ↗

Existing special search rules preserved

Leaves intact other code provisions that specially regulate search, seizure, and issuance or execution of search warrants.

Criminal procedureEffective 2026-07-01Source ↗

No broader crypto licensing regime

The act is limited to criminal-procedure search-and-seizure language and does not create exchange licensing, tax, or market-structure rules.

ScopeEffective 2026-07-01Source ↗
HISTORY

Status and timeline

First read in Senate

SB 43 was first read and referred to Senate Judiciary.

IntroducedSource ↗

Senate Judiciary do-pass vote

Committee passed SB 43, 6-0, and certified it uncontested.

In committeeSource ↗

Senate passes SB 43

The Senate passed SB 43 by a 32-0 vote.

House passes SB 43

The House passed SB 43 by a 65-1 vote.

Governor signature recorded

Bill history records Governor signature on March 11 and Senate Journal action on March 12.

EnactedSource ↗
COVERAGE

Who it affects

Actors

south-dakota-governorlaw-enforcementsouth-dakota-attorney-generalsouth-dakota-legislature

Asset classes

cryptocurrencydigital-currency
PRIMARY REFERENCES

Official sources

RELATED COVERAGE

Coverage

Editorial note

Status reviewed June 9, 2026. Treat as Enacted until the July 1, 2026 default effective date is reached and codified text is verified.