HB99
Alaska Money Transmission and Virtual Currency Law
In one sentence
This bill updates Alaska laws to require licenses for money transmission businesses, adds rules for virtual currency use in these services, and allows the state department to work with other states on licensing.
What it does
- Requires anyone doing money transmission business or advertising it to hold a license, be an authorized delegate of a licensee, or qualify for an exemption.
- Sets steps for applying for a license, including submitting information about the applicant's organization, finances, background, and experience, along with fees and security bonds.
- Gives the department 120 days to approve or deny a complete application after it is reviewed; if no decision is made in that time, the application is approved automatically unless extended for good cause.
- Allows the state department to accept investigation results from other states if they are part of a multistate licensing system where another state leads the investigation.
- Requires license holders to renew their licenses every year and report any major changes in their business information.
Who it affects
- Businesses that send money or exchange currency for customers
- Companies using virtual currency for money transmission services
- The Department of Commerce, Community, and Economic Development
- Authorized delegates who act on behalf of licensed companies
Limits and unknowns
- The bill does not list the specific dollar amounts for application fees, license fees, or renewal costs.
- The text mentions exemptions but does not detail which businesses qualify without a license in this excerpt.
- The effective date of when these new rules start is listed as blank in the provided metadata.
Plain language
Terms to know
- Money Transmission
- Business activities that involve sending or exchanging money for others.
- Virtual Currency
- Digital forms of currency used to send value online, which are now included in the bill's regulations.
- Authorized Delegate
- A person or company allowed by a licensee to perform money transmission tasks under a written contract within their scope of authority.
Official record
Sources
Official summary
MONEY TRANSMISSION; VIRTUAL CURRENCY 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; amending Rules 79 and 82, Alaska Rules of Civil Procedure; and providing for an effective date.
Official activity
Bill history
- (H) Minutes (HFIN)Min
- (H) Heard & HeldText
- (H) FINANCE at 01:30 PM ADAMS 519Text
- (H) REFERRED TO FINANCE503
- (H) FN1: (CED)503
- (H) AM: NELSON503
- (H) NR: CARRICK, COULOMBE503
- (H) DP: BURKE, HALL, FIELDS503
- (H) L&C RPT CS(L&C) 3DP 2NR 1AM503
- (H) Minutes (HL&C)Min
- (H) LABOR & COMMERCE at 03:15 PM BARNES 124Text
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- (H) Moved CSHB 99(L&C) Out of CommitteeText
- (H) LABOR & COMMERCE at 03:15 PM BARNES 124Text
- (H) -- MEETING CANCELED --Text
- (H) LABOR & COMMERCE at 03:15 PM BARNES 124Text
- (H) Minutes (HL&C)Min
- (H) Heard & HeldText
- (H) LABOR & COMMERCE at 03:15 PM BARNES 124Text
- (H) Minutes (HL&C)Min