While this is federal level, it does help close a common loophole used by states to 'hide' the money. Agent of the state seizes the money, state sends it to fe

While this is federal level, it does help close a common loophole used by states to 'hide' the money. Agent of the state seizes the money, state sends it to feds, gets back 'clean' money from feds; When you go to sue to get your money back, the state says 'whoopsie, the feds have it, so you need to go sue them' and the feds respond with 'naw, you gotta sue the state, they seized your money'. I think trying to avoid any challenges by states is the pragmatic approach here. Asset forfeiture has some really perverse incentives, and basically everyone involved except the person whose money is seized has some incentive to ensure the money remains seized. If this bill even makes it to law, expect it to get challenged in court very quickly; it make sense to try to minimize the attack surface.