Money transmission and licensing laws by state

SB 86: An Act relating to the business of money transmission; relating to licenses for money transmission, licensure requirements, and registration through a nationwide multistate licensing system; relating to the use of virtual currency for money transmission; relating to authorized delegates of a licensee; relating to acquisition of control of a license; relating to record retention and reporting requirements; authorizing the Department of Commerce, Community, and Economic Development to cooperate with other states in the regulation of money transmission; relating to permissible investments; relating to violations and enforcement of money transmission laws; relating to exemptions to money transmission licensure requirements; relating to payroll processing services; relating to currency exchange licenses; relating to abandoned virtual currency; amending Rules 79 and 82, Alaska Rules of Civil Procedure; and providing for an effective date.

Persons may not engage in money transmission or virtual currency business activity without a license or exemption. Licensees must maintain surety bonds, submit quarterly financial reports within 45 days, comply with record retention requirements for five years, and obtain department approval before acquiring control. Authorized delegates must operate under written contracts and remit funds to licensees.

Took effect 1 January 2026

HB 1467: To amend the uniform money services act.

This amendment adds Representative McCollum as a cosponsor to House Bill 1467, which amends the Uniform Money Services Act.

SB 505: Money Transmission Act: authentication.

A licensee under the Money Transmission Act shall not allow a user login without implementing two-factor authentication, multifactor authentication, or other reasonably equivalent or more secure access control; a process for reverifying user, device, or system identity using similar authentication; and the ability for users to report errors or suspected fraud through the platform or a reasonably accessible alternative.

Takes effect 1 January 2027

AB 1507: Financial institutions.

Each licensee or agent conducting money transmission must prominently post a notice at each branch office with specified contact information for the California Department of Financial Protection and Innovation. The notice must be in English and any language principally used to advertise or solicit money transmission services, printed in letters at least one-half inch high, and posted conspicuously in unobstructed public view.

Took effect 1 January 2026

HB 25-1201: Model Money Transmission Modernization Act

Persons must obtain a license from the Banking Board before engaging in money transmission, including selling or issuing payment instruments, selling or issuing stored value, or receiving money for transmission in Colorado. Licensees must maintain permissible investments and comply with net worth and bonding requirements. Licensees must report material changes and renew licenses annually.

HB 7082: An act concerning various revisions to the money transmission statutes, state payments and investments in virtual currency and minors' money sharing application accounts.

Licensees engaging in money transmission by receiving, transmitting, storing or maintaining custody or control of virtual currency must disclose fees, pricing differentials, insurance coverage, transaction irrevocability, liability, and other specified terms before transactions and provide receipts after completion. Licensees must hold virtual currency matching amounts owed to customers and may not use or encumber customer virtual currency except at customer direction.

Took effect 1 October 2025

HB 465: An act to amend title 11 of the delaware code relating to virtual currency.

Adds virtual currency to Delaware's criminal code definitions of property, funds, pecuniary value, and items subject to search and seizure, enabling prosecution of virtual currency theft and money laundering while allowing courts to order disposition of seized virtual currency.

SB 18: An act to amend title 5 of the delaware code relating to money transmission.

Amends Delaware's money transmission law to clarify that control of virtual currency does not include ability to terminate fraudulent transactions, excludes certain digital assets and non-investment tokens from virtual currency definition, and narrows virtual-currency business activity to exclude peer-to-peer exchanges and software development.

HB 175: Payment Stablecoin

Qualified payment stablecoin issuers must maintain identifiable reserves backing outstanding stablecoins on at least a one-to-one basis consisting of specified assets, publicly disclose redemption policies and fees, publish monthly reserve composition, engage registered public accountants for monthly reserve examinations, and submit monthly certifications. Issuers may not engage in tying arrangements, use deceptive names, or pay interest on stablecoins if prohibited by federal law.

HB 505: Virtual Currency Kiosks

Virtual currency kiosk businesses must register with the Office of Financial Regulation before operating in Florida, effective March 1, 2027. Registrants must implement blockchain analytics to prevent transfers to criminal wallet addresses, enforce daily transaction limits of $2,000 for new customers and $10,000 for existing customers, display fraud warnings, provide receipts, and issue refunds within 72 hours for fraudulent first transactions.

Takes effect 1 January 2027

HB 15: Banking and finance; update terminology; provisions

Applicants for licenses as mortgage lenders, mortgage brokers, money transmitters, payment instrument cashers, and foreign banking institutions must not have been convicted of felonies within seven years or at any time if a disqualifying crime. Merchant acquirer limited purpose bank applicants and employees must meet character and fitness standards. Mortgage lenders must maintain adequate liquidity and corporate governance structures.

HB 4533: Money transmitter dream donate

Licensees under the Uniform Money Transmission Modernization Act must offer every customer who transmits money internationally the option to make a voluntary donation to the Illinois DREAM Fund of no less than $1 per transaction before transaction completion. Licensees must not use, deduct, or retain donation amounts except for actual third-party payment processor costs. The Department shall provide licensees electronic copies of Illinois DREAM Fund Commission marketing materials.

Takes effect 1 January 2027

HB 5384: Financial reg-fees-investigate

Persons and entities regulated under the Currency Exchange Act, Sales Finance Agency Act, Consumer Installment Loan Act, Debt Management Service Act, Debt Settlement Consumer Protection Act, Safety Deposit License Act, and Payday Loan Reform Act must bear the expenses of administering these Acts through fees assessed by the Secretary of Financial and Professional Regulation in proportions and manner the Secretary deems appropriate.

HB 1042: Regulation and investment of cryptocurrency.

Administrators of specified state retirement and investment plans must offer cryptocurrency exchange traded funds as regular investment programs. Boards may invest plan assets in cryptocurrency exchange traded funds. Public agencies, counties, municipalities, and townships may not adopt rules prohibiting individuals from accepting digital assets as payment, taking custody via self-hosted or hardware wallets, operating blockchain nodes, or conducting private digital asset mining in residences.

Took effect 1 July 2026

SB 189: AN ACT relating to the regulation of digital asset business.

Virtual currency kiosk operators must obtain a license from the commissioner before owning, operating, or facilitating a virtual currency kiosk in Kentucky. Licensees must maintain a surety bond of at least $100,000 (up to $7,000,000 based on transaction volume), tangible net worth requirements, books and records for five years, quarterly financial reports, and comply with anti-money laundering laws.

SB 219: AN ACT relating to debts.

Deferred deposit service business licensees must accurately and promptly submit customer transaction data into a real-time database before entering into each deferred deposit transaction. The commissioner imposes a fee not to exceed three dollars per transaction, which may be charged to customers.

HB 1230: COMMERCIAL REGULATIONS: Provides relative to the Louisiana Money Transmission Act

Took effect 1 July 2026

HB 118: Maryland Money Transmission Act - Definition of Money Transmitter - Alteration

Alters the definition of money transmitter under the Maryland Money Transmission Act to exclude a person designated as an agent of a payor providing payroll processing services if there is a written agreement between payor and agent, the payor notifies other payees of the agent's role, and the payor remains obligated to payees if the agent fails to remit funds.

Took effect 1 October 2026

HB 1596: Money transmitters; require to implement certain data security measures and customer protections.

Money transmitters licensed under the Money Transmission Modernization Act must develop, implement, and maintain a comprehensive information security program with administrative, technical, and physical safeguards. Licensees must designate a qualified individual to oversee the program, conduct risk assessments, implement encryption for customer information, use multi-factor authentication, and notify the Commissioner of Banking and Consumer Finance within 72 hours of discovering unauthorized acquisition of unencrypted customer information.

Took effect 1 July 2026

HB 1625: Virtual currency kiosks; require licensure in accordance with Money Transmission Modernization Act.

Virtual currency kiosk operators must obtain a license under the Money Transmission Modernization Act before operating. Operators must disclose material risks, implement fraud prevention measures including security questions and blockchain analytics software, provide receipts, maintain transaction limits of $1,000 daily for new customers and $7,500 for existing customers, and hold new customer funds for ninety-six hours.

Took effect 1 July 2026

HB 547: Check cashers and MS Credit Availability licensees; authorize to pass credit/debit card fees to customers.

Check cashing businesses and credit availability licensees may pass third-party processing company fees for debit or credit card use to customers, provided they give clear and conspicuous notice before transaction completion disclosing the fee amount, that it is for card use, and which payment methods are affected. The fee is limited to the single transaction cost charged by the processor.

Took effect 1 July 2026

HB 1428: Money Transmission Modernization Act; create and repeal MS Money Transmitters Act.

Persons engaging in money transmission must obtain a license from the Mississippi Commissioner of Banking and Consumer Finance. Licensees must maintain surety bonds or deposits, comply with prudential standards, file reports, and may designate authorized delegates. Unlicensed money transmission is prohibited.

Took effect 1 July 2025

LB 838: Change provisions relating to the financial exploitation of vulnerable or senior adults, rules and codes of procedure, decedents' estates, inheritance taxes, deceptive trade practices, the Age-Appropriate Online Design Code Act, the Equipment Business Regulation Act, the Nebraska Money Transmitters Act, and the Nebraska Uniform Trust Code and provide for rounding of certain cash transaction amounts

A social media platform that accepts payment for advertising must establish identity verification for advertisers, fraud detection systems, unlawful impersonation detection, measures to prevent repeated offenses, a user reporting tool, and a law enforcement reporting process. After a fraudulent advertisement is reported, the platform must investigate within five business days and remove it within five business days of determination.

LB 717: Adopt changes to federal law regarding banking and finance, change provisions relating to control of certain banks and trust companies, digital asset depository institutions, interest rates on certain loans, installment loans, mortgage loan originators, mortgage bankers, and the Nebraska Money Transmitters Act, and change references to the Nebraska Money Transmitters Act in the Controllable Electronic Record Fraud Prevention Act

Amends the Nebraska Money Transmitters Act to add payroll processing services as an exemption for persons employing fewer than twenty full-time employees or serving fewer than fifty Nebraska employees, subject to criminal history and licensing restrictions.

LB 474: Change and eliminate provisions relating to installment sales and installment loans and the Nebraska Money Transmitters Act, rename the Nebraska Installment Sales Act, transfer provisions of and eliminate the Nebraska Installment Loan Act, and change provisions of the Medicaid Access and Quality Act

Amends Nebraska banking and finance statutes to modify the Nebraska Money Transmitters Act regarding licensure, enforcement, and operations; renames the Nebraska Installment Sales Act to the Nebraska Installment Loan and Sales Act; transfers and eliminates provisions of the Nebraska Installment Loan Act; and repeals numerous related statutory sections.

AB 430: Exempts persons engaged in the provision of payroll processing services from provisions governing money transmission. (BDR 55-1072)

Removes payroll processing services from the definition of money transmission and exempts persons engaged solely in providing payroll processing services from money transmission licensure and regulation requirements.

SB 44: Revises provisions relating to financial services. (BDR 54-258)

Licensees under specified Nevada financial services chapters must comply with federal safeguarding standards in 16 C.F.R. Part 314, maintain information security programs in their books and records, and notify the Commissioner of notification events. Covered mortgage servicers must establish boards of directors, maintain liquidity, conduct annual external audits, and implement risk management programs.

A 6870: Extends the effectiveness of provisions relating to limiting the check cashing exemption for national banks and other regulated entities

HB 3521: Financial institutions; Oklahoma Money Transmission Modernization Act; Banking Commissioner; Oklahoma State Banking Board; licenses; felony; repealer; effective date.

Persons may not engage in money transmission business without a license from the State Banking Commissioner. Licensees must maintain net worth, surety bonds, and permissible investments. Licensees must submit reports of condition, audited financial statements, and authorized delegate reports. Licensees must forward money unless they reasonably believe the sender is a fraud victim or crime is occurring.

Took effect 1 November 2026

SB 202: An Act amending the act of September 2, 1965 (P.L.490, No.249), referred to as the Money Transmission Business Licensing Law, further providing for title of act and for definitions; providing for short title; and further providing for license required, for exemptions, for qualifications for a license, for fee, financial statement and security, for liability of licensees, for licensee requirements and for agents.

Persons engaging in money transmission or virtual currency transmission by transmittal instrument for a fee must obtain a license from the Department of Banking and Securities. Licensees must maintain tangible net worth of at least five hundred thousand dollars, post a one million dollar bond, operate safely, comply with federal and state laws, register agents, and file required reports.

Took effect 26 August 2025

HB 2502: Banks and Financial Institutions - As enacted, clarifies that the service of transmitting money from a location originating in this state to a location outside of the United States or its territories is a taxable service and that such a tax is generally levied on the amount of money transmitted; requires revenues generated from such a tax to be allocated to certain funds and purposes. - Amends TCA Title 4; Title 38; Title 39; Title 45; Title 47; Title 49 and Title 67.

Entities licensed under the Money Transmission Modernization Act must collect tax on money transmitted from locations originating in Tennessee to locations outside the United States or its territories. Revenues generated from this tax must be deposited in the international money transmission tax fund and allocated annually on July 1 according to specified percentages to the state general fund, counties and metropolitan governments, the K-12 education teacher compensation fund, and the Tennessee peace officer standards and training commission.

Takes effect 1 January 2027

HB 3805: Relating to certain enforcement powers of the banking commissioner regarding the regulation of money services businesses.

The banking commissioner may remove or prohibit current or former key individuals, employees, control persons, or other participants in money services licensees from office or further participation if they intentionally committed specified violations, violated final cease and desist orders, made false records entries, or were finally convicted of felonies involving money services, dishonesty, or breach of trust.

Took effect 1 September 2025

HB 3833: Relating to the regulation of money services businesses.

Money services licensees and applicants must provide fingerprints, criminal history, credit reports, and information about regulatory actions and civil litigation involving fraud or fiduciary breaches. Currency exchange licensees must maintain surety bonds or deposits. Money transmission licensees must maintain permissible investments including cash, certificates of deposit, government obligations, and stablecoin.

Took effect 1 September 2025

SB 512: Relating to prohibiting the imposition of a monetary fine or penalty for a violation of a money services business's terms of service agreement; providing a civil penalty.

A money transmission licensee may not include in its terms of service agreement a provision allowing or providing for a monetary fine or penalty for violating any provision of the terms of service agreement. A money transmission licensee may close a customer account as a result of a customer's violation of the terms of service agreement.

Took effect 1 September 2025

HB 1166: Financial institutions; check cashers, expiration of registration.

Check cashers required to be registered under this chapter must pay an annual registration fee to the Commission on or before July 1 each year in an amount prescribed by the Commission but not exceeding $250. If a registrant fails to pay by July 1, its registration automatically expires by operation of law.

Takes effect 1 January 2027

HB 1942: Financial institutions; regulation of money transmitters, penalty, effective date.

Persons engaging in money transmission in Virginia must obtain a license from the State Corporation Commission. Licensees must maintain compliance with net worth, reserve, and bonding requirements, file annual renewal reports, and comply with examination and record-production demands. Authorized delegates must operate under written contracts with licensees and comply with specified limitations on their activities.

Took effect 1 July 2026

HB 5353: To bring virtual currency kiosks within the purview of money transmission licensure and create disclosure requirements and daily transaction limitations for new and existing customers.

Virtual currency kiosk operators must obtain a money transmission license. Licensees must disclose material risks, terms, and transaction details to customers in specified font sizes before transactions. Licensees must impose daily transaction limits of $1,000 for new customers and $10,000 for existing customers. Licensees must obtain government-issued identification, provide live customer support, and employ a chief compliance officer.

HB 75: Virtual currency kiosks.

No person may own, operate, or manage a virtual currency kiosk in Wyoming unless the person holds a license under the Wyoming Money Transmitters Act or is a financial institution with a charter under Wyoming title 13. The state banking commissioner shall adopt rules regulating the operation of virtual currency kiosks.