SC H3454

Amends South Carolina's Uniform Commercial Code to add provisions for "controllable electronic records" - digital assets that can be subjected to control, including new definitions and rules for transferring and perfecting security interests in these electronic records

Updates the definition of "money" to exclude electronic forms and adds new categories including "controllable accounts" and "controllable payment intangibles" for digital payment rights evidenced by controllable electronic records

Modernizes signature and authentication requirements throughout the UCC, replacing "authenticate" with "sign" and expanding the definition to include electronic symbols, sounds, or processes

Establishes new rules for determining when a person has "control" of electronic documents, chattel paper, and controllable electronic records, including provisions for shared control and acknowledgment of control on behalf of others

Creates transitional provisions (Chapter 12A) with an adjustment date of July 1, 2026 or one year after the act's effective date, allowing existing transactions to remain valid while providing a framework for applying new rules to digital assets