Plain English Breakdown
Checked against official source text during the last sync.
Digital Currency Protection for Consumers
This bill stops banks from turning customers' money into digital currency without getting a clear written agreement from those customers.
What This Bill Does
- Defines 'bank' to include state banks, savings and loan associations, and credit unions.
- Requires banks to get written permission from customers before changing their money into digital currencies or similar forms of digital payment.
- Allows the commissioner of financial institutions to punish banks that break this rule by ordering them to stop the violation, pay fines up to $1,000 per day for each day they continue breaking the law, and cover investigation costs.
- Enables people who are hurt by a bank's actions to sue the bank in court and get damages if the court finds the bank guilty.
Who It Names or Affects
- Banks that hold money for customers
- Customers whose money is held by banks
Terms To Know
- Digital Currency
- Money in digital form, like cryptocurrency or other virtual currencies.
- Commissioner of Financial Institutions
- The person responsible for overseeing and regulating financial institutions in Tennessee.
Limits and Unknowns
- This bill has not yet been signed into law, so it may change before becoming official.
- It is not clear how this law will be enforced or what the exact penalties will be beyond those specified.