California has commenced the enforcement of the Digital Financial Assets Act (DFAL), mandating that digital asset businesses serving state residents obtain a DFAL license, submit an application, or qualify for an exemption by July 1, 2026. Applications will be accepted starting March 9th via the national multistate licensing system. Regulators are encouraging businesses to review the NMLS list and participate in industry training on March 23rd. The DFAL, signed by Governor Gavin Newsom in October 2023, establishes a comprehensive regulatory framework for cryptocurrency services in California, similar to New York's BitLicense. Businesses that fail to comply with the new requirements by the deadline will face enforcement actions. The act also imposes additional regulations on crypto self-service terminals, aiming to enhance oversight and consumer protection in the digital asset sector.