AB-129, the bill that would recognize digital currencies as lawful money, has moved to the Senate floor for consideration.
The government agency added that this policy could be changed for future tax years.
Bitcoin could solve key issues in the region's financial system and bring resources to the underbanked.
The newly released academic paper found evidence that the bitcoin market is maturing and building fundamentals.
The MIT contest will award developers $15,000 in prizes to bolster bitcoin awareness at the university.
Cheers enables users to send bitcoin tips and messages to musicians, share info and learn about new artists.
The serial entrepreneur is banned from engaging in securities offerings for five years, and must pay over $50,000.
50 Cent is one of the most high-profile rap artists to get involved with bitcoin to-date.
The campaign will hit dozens of major cities across North America, offering free BTC and prizes along the way.
Citi suggests that digital currencies may challenge debit and credit card companies if adoption grows.