§ 12.003 — RIGHTS IN VIRTUAL CURRENCY.

Texas § 12.003

• Jurisdiction: Texas
• Code BC: Business & Commerce Code

Text

Sec. 12.003. RIGHTS IN VIRTUAL CURRENCY. (a) In this section:
(1) "Adverse claim" means a claim that a claimant has a property interest in a virtual currency and that it is a violation of the rights of the claimant for another person to hold, transfer, or deal with the virtual currency.
(2) "Qualifying purchaser" means a purchaser that obtains control of a virtual currency for value and without notice of any adverse claim.
(b) Subject to Subsections (c) through (h), law other than this chapter determines whether a person acquires rights in a virtual currency and the rights that the person acquires.
(c) A purchaser of a virtual currency acquires all rights in the virtual currency that the transferor had or had power to transfer.
(d) A purchaser of a limited interest in a virtual currency acquires rights only to the extent of the interest purchased.
(e) In addition to acquiring the rights of a purchaser, a qualifying purchaser acquires the purchaser's rights in a virtual currency free of any adverse claim.
(f) An action based on an adverse claim to a virtual currency, whether framed in conversion, replevin, constructive trust, equitable lien, or other theory, may not be asserted against a qualifying purchaser that acquires the purchaser's interest in, and obtains control of, the virtual currency for value and without notice of the adverse claim.
(g) A person has notice of an adverse claim if:
(1) the person knows of the adverse claim; or
(2) the person is aware of facts sufficient to indicate that there is a significant probability that the adverse claim exists and deliberately avoids information that would establish the existence of the adverse claim.
(h) Filing of a financing statement under Chapter 9 is not notice of an adverse claim to a virtual currency.

Legislative History

Added by Acts 2021, 87th Leg., R.S., Ch. 739 (H.B. 4474 ), Sec. 9, eff. September 1, 2021.