Defines synthetic media, provenance (verifiable information about the origin, creation, and modification history of a piece of digital content, including any transformations applied), cryptographic authentication, and false attribution. Defines state-generated content as any official communication, media, or digital file created or disseminated by a State agency, department, or official in the course of their duties. Establishes the Digital Content Provenance Initiative (Initiative) to be implemented in phases as described. Specifies that Phase I, coordinated by the Department of Commerce (DOC) and the Department of Information Technology (DIT), will develop and implement cryptographic authentication standards for digital content across State platforms, official communications, and election-related public information, to mitigate digital misinformation that poses an escalating threat to consumers, the public trust, election integrity, and information authenticity. It will also study methods to detect and deter false attribution of synthetic media to public officials, election authorities, or government agencies. Where feasible, directs the Initiative to lead the State's effort to adopt or align with existing open technical standards for content provenance and authenticity, including those specified. Instructs the Initiative to create a Digital Content Provenance Advisory Board (Board) to advise on technical standards, privacy safeguards, civil liberties impacts, and implementation strategies.

Effective July 1, 2025, appropriates $500,000 from the General Fund to DOC for 2025-26 to implement Phase I, including the development of comprehensive content authentication framework for North Carolina's digital communications infrastructure as described. Authorizes use of the funds to engage consultants, develop technical infrastructure, increase staff expertise, conduct public education campaign, and to support ongoing threat assessment. By December 1, 2025, requires DOC and DIT to submit an interim Phase I report to the General Assembly and publish it on a public website, to include a summary of technical progress, public input received, initial recommendations for election-year implementation, and early indicators of public risk. Requires a final Phase I report, with recommendations for Phase II to be submitted by March 1, 2026.