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HB1560 • 2026

RELATING TO CONSUMER PROTECTION.

RELATING TO CONSUMER PROTECTION.

Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor
MATAYOSHI, ILAGAN, KEOHOKAPU-LEE LOY, KILA, KUSCH, MARTEN, MIYAKE, OLDS, TAKAYAMA, TARNAS
Last action
2026-02-05
Official status
The committee(s) on CPC recommend(s) that the measure be deferred.
Effective date
Not listed

Plain English Breakdown

The official source does not provide details on enforcement mechanisms or penalties for violations.

Consumer Protection Rules for Digital Financial Asset Kiosks

This bill sets rules to protect consumers using digital financial asset kiosks, including prohibiting transactions with the same wallet address and requiring refunds under certain conditions.

What This Bill Does

  • Begins on October 1, 2026, it stops operators from allowing any two customers to use the same digital financial asset wallet address at a kiosk.
  • Requires operators of digital financial asset kiosks to give full refunds if a customer's first transaction is fraudulent and reported within 60 days.

Who It Names or Affects

  • Customers using digital financial asset kiosks in the state.
  • Operators of digital financial asset kiosks in the state.

Terms To Know

Digital Financial Asset
A type of virtual money that can be used to buy things or save value, but is not legal tender like dollars and cents.
Wallet Address
A unique code for a digital wallet where people keep their digital financial assets.

Limits and Unknowns

  • The bill does not specify what happens if an operator violates the rules.
  • It is unclear how this will be enforced or who will enforce it.
  • The bill only applies to kiosks in the state and does not cover other digital financial asset transactions.

Bill History

  1. 2026-02-05 H

    The committee(s) on CPC recommend(s) that the measure be deferred.

  2. 2026-02-03 H

    Bill scheduled to be heard by CPC on Thursday, 02-05-26 2:00PM in House conference room 329 VIA VIDEOCONFERENCE.

  3. 2026-01-26 H

    Referred to CPC, JHA, referral sheet 1

  4. 2026-01-21 H

    Introduced and Pass First Reading.

  5. 2026-01-15 H

    Prefiled.

Official Summary Text

RELATING TO CONSUMER PROTECTION.
Consumer Protection; Digital Financial Assets; Virtual Currencies; Kiosks; Digital Financial Asset Wallet Address
Beginning 10/1/2026, prohibits digital financial asset transaction kiosks from allowing any two customers from conducting transactions with the same digital financial asset wallet address and requires operators to provide full refunds under certain circumstances.

Current Bill Text

Read the full stored bill text
HB1560

HOUSE OF REPRESENTATIVES

H.B. NO.

1560

THIRTY-THIRD LEGISLATURE, 2026

STATE OF HAWAII

A BILL FOR AN ACT

relating
to consumer protection
.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

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SECTION 1.
�
Chapter 481B, Hawaii Revised Statutes, is
amended by adding a new part to be appropriately designated and to read as
follows:

"
PART
.
�
DIGITAL FINANCIAL
ASSETS

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�481B-
�
Definitions.
�
As
used in this part:

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"Cash" means physical United States
currency, both coins and paper currency.

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"Digital financial asset"
means a digital representation of value that is used as a medium of exchange,
unit of account, or store of value, and that is not legal tender, regardless of
whether denominated in legal tender.
�

"Digital financial asset" does not include:

����
(1)
�
A transaction in
which a merchant grants, as part of an affinity or rewards program, value that
cannot be taken from or exchanged with the merchant for legal tender, bank or
credit union credit, or a digital financial asset;

����
(2)
�
A digital
representation of value issued by or on behalf of a publisher and used solely
within an online game, game platform, or family of games sold by the same
publisher or offered on the same game platform; or

����
(3)
�
A security
registered with or exempt from registration with the United States Securities
and Exchange Commission or a security registered or exempt from registration
under chapter 485A.

����
"Digital financial asset
transaction kiosk" means an electronic information processing device that
is capable of accepting or dispensing United States currency by means of credit
card or cash in exchange for a digital financial asset.

����
"Digital financial asset
wallet" means a software application or other mechanism providing a means
for holding, storing, and transferring digital financial assets.

����
"Digital financial asset wallet
address" means a unique public alphanumeric identifier that is associated
with a type of digital financial asset and digital financial asset wallet and
that allows for the sending and receiving of digital financial assets.

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"Operator" means a person
who owns, operates, or manages a digital financial asset transaction kiosk
located in the State.

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�481B-
�
Digital financial asset kiosks; prohibition
on access to a digital financial asset wallet from multiple customers.
�

(a)
�
Beginning October 1, 2026, it
shall be an unlawful practice under this chapter for an operator to own,
operate, or manage in the State a digital financial asset kiosk that allows any
two customers to conduct transactions with the same digital financial asset
wallet address.

����
(b)
�

Each transaction in violation of
subsection (a) shall be a separate offense.

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�481B-
�
Digital financial asset kiosks; limited
option to cancel transaction.
�
(a)
�
Beginning
October 1, 2026, the owner, operator, or manager of a digital financial asset
kiosk located within the State shall, at the expense of the owner, operator, or
manager, allow a customer to cancel and receive a full refund for a digital
financial asset transaction conducted at such kiosk if:

����
(1)
�
The transaction
was the customer's first digital financial asset transaction;

����
(2)
�
The digital
financial asset transaction involves use of a digital financial asset wallet;
and

����
(3)
�
Within sixty days
after the digital financial kiosk transaction, the customer contacts the owner,
operator, or manager of the kiosk and a government or law enforcement entity
regarding the fraudulent nature of the transaction and submits proof of the fraud,
such as a police report or notarized declaration detailing the fraudulent
nature of the transaction.

����
(b)
�

Each transaction that an owner,
operator, or manager of a digital financial asset kiosk fails to cancel or
refund pursuant to subsection (a) shall constitute a separate offense."

����
SECTION 2.
�
This Act shall take effect upon its approval.

INTRODUCED BY:

_____________________________

Report Title:

Consumer
Protection; Digital Financial Assets; Virtual Currencies; Kiosks; Digital
Financial Asset Wallet Address

Description:

Beginning
10/1/2026, prohibits digital financial asset transaction kiosks from allowing any
two customers from conducting transactions with the same digital financial
asset wallet address and requires operators to provide full refunds under
certain circumstances.

The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.