Virtual Currency is often decentralized (unless a given currency or blockchain is wholly owned by a given institution). Many seem to think this means there are no laws in the space. Sure, John Perry Barlow could tell governments of the world that they have no control over the internet in his “A Declaration of the Independence of Cyberspace” and proponents of web3 or DEFI have room to experiment with a new currency. Decentralized is not the same as unregulated. Turns out we’ve been electronically sending funds (or objects with a monetary value) for a time, so each state as either created a statute or provided interpretation of existing statutes. These are mostly to make sure people pay taxes and prevent money laundering, but there are interesting little differences here and there.
The following is a list of each US state and how they are licensed for money transmission (statutes followed by guidance where applicable).
Alabama:Alabama Code § 8-7A-2 and Alabama Code § 8-7A-5
Alaska: Alaska Statute § 06.55.990(15)
Arizona: Arizona Statute § 6-1201
Arkansas: Arkansa Codes § 23-55-102(12)(A), § 23-55-701(b).
California: California’s Money Transmission Act
Colorado: Colorado guidance
Connecticut: Connecticut Statutes § 36a-596(18), § 36a-597, § 36a-598(a)(iv), § 36a-600(c), § 36a-602(a), § 36a-603(b).
Delaware: Deleware Code § 2303
District of Columbia: DC § 474 F. Supp. 3d 76,
Florida: Florida Statutes § 560.103(23), § 559.952(4)(a)(3), 264 So. 3d 1055, § 896.101(f), Amnesty Period for Virtual Currency Memo
Georgia: Georgia Codes § 7-1-680(13), § 7-1-681, § 7-1-690, Money Transmission and Virtual Currency as a Payment Instrument
Hawaii: Hawaii Statute § 489D-4
Idaho: Idaho Department of Finance Guidance
Illinois: Statue § ILCS 657/5 , Digital Currency Regulatory Guidance,
Indiana: Indiana Code § 28-8-4-13, money transmitter licensing FAQ on NMLS
Iowa: Iowa Code § 533C.103
Kansas: Kansas Statute § 9-508(h), Regulatory Treatment of Virtual Currencies in Kansas
Kentucky: Kentucky Statute 286.11-003
Louisiana: Louisiana Statutes §§ 6:1381, § 6:1383(B), § 6:1032(13), LA guidance
Maine: Maine Statute 32 §6102(10)
Maryland: Maryland Codes § 12-401(n)(1), § 1010.100(m), Maryland Virtual Currency Guidance
Massachusetts: Massachusetts Code 209 CMR 45.02, Breakdown of applicable court opinions
Michigan: Michigan Code 487.1003(c), Michigan virtual currency guidance
Minnesota: MN Statute § 53B.03, MN Money Transmitter Guidance
Mississippi: Mississippi Code § 75-15-3(f) and § 75-15-3(g)
Missouri: Missouri Statute § 361.700(2)(1)
Montana: Money Transmitter Regulations Guidance
Nebraska: Nebraska Statutes § 8-2715, § 8-2724
Nevada: Nevada Statutes, § 671.010(1), § 671.040(1), §§ 657A.100-657A.620, Cryptocurrency in Nevada
New Hampshire: Statutes § 399-G:1(VII), § 399-G:3(VI)(a), § 399-G:1(XV), § 399-G:2
New Jersey: New Jersey Statute 17:15C-2
New Mexico: New Mexico Statute 1978 § 58-32-102, Virtual currency exchanging and trading services
New York: NY Code §§ 200.1, 200.2(q), § 641, Guidance on virtual currency treatment
North Carolina: North Carolina Statutes § 53-208.47(d), § 53-208.48(c), § 53-208.42(13)(b), § 53-208.44(8), and Money Transmitter for Virtual Currencies.
Ohio: Ohio Code § 1315.01(G)
Oklahoma: Oklahoma Statute § 1512(7)
Oregon Oregon Statute 717.200(10)(b)
Pennsylvania Pennsylvania Statute § 6101, and Money Transmitter Act Guidance for Virtual Currency
Rhode Island Rhode Island Laws 1956 § 19-14-1(4)(ii), 1956 § 19-14-2(3), 1956 § 19-14.3-1, 1956 § 19-14.3-3.5, 1956 § 19-14.3-3.6
South Carolina: Order MSD-19003 and Anti-Money Laundering Act letter to add virtual currencies,
South Dakota: South Dakota Code 51A-17-1(13), Virtual Currency Regulations in South Dakota
Tennessee: Virtual Currency Regulations Under the Tennessee Money Transmitter Act
Texas: Memo to Virtual Currency providers
Utah: Utah Code § 7-25-102(9)(b)
Virginia: Virginia. Code § 6.2-1900
Washington: RCW 19.230.010(18), WAC 208-690-015(4), RCW 19.230.040(5); WAC 208-690-030(7), RCW 19.230.200(1), RCW 19.230.370, WAC 208-690-085(4), WAC 208-690-205(3), WAC 208-690-060(2), WA Industry Fintech Licensing Guidance
West Virginia: Va. Code § 32A-2-1(6), W. Va. Code § 31A-8G-4(d), (e).
Wisconsin: Wis. Stat. § 217.03, Money Transmittors as virtual currency
Wyoming: Wyo. Stat. § 40-22-104(a)(vi), Wyo. Stat. §§ 40-29-101 through 40-29-109; 021.0008.1 Wyo. Code R. §§ 1, Wyo. Stat. § 40-22-104(b).