The bill, HB1467, amends the Uniform Money Services Act in Arkansas to introduce new definitions and requirements specifically addressing virtual currency transactions and the protection of elder adults. It defines terms such as "elder adult," "money transmission kiosk," and "virtual currency wallet," and mandates that licensees provide training materials to authorized delegates on recognizing financial abuse of elder adults. Additionally, the bill requires clear disclosures regarding the risks associated with virtual currency transactions to be provided to customers before they engage in such transactions. It also updates licensing requirements, including the necessity for a surety bond and cybersecurity measures, while ensuring that fraud warnings are prominently displayed during transactions.

Moreover, the bill establishes new regulations for virtual currency kiosks, requiring operators to provide clear written disclosures to customers before account creation and transactions, detailing customer liabilities and transaction terms. It sets maximum transaction limits, mandates customer identification, and requires the appointment of a chief compliance officer to oversee adherence to these regulations. The legislation also emphasizes the importance of safeguarding customer information within financial institutions, mandating the development of comprehensive information security programs, multi-factor authentication, and regular security assessments. Institutions must also create incident response plans and report significant security breaches, with exemptions for those serving fewer than five thousand consumers.

Statutes affected:
Old version HB1467 V2 - 3-11-2025 10:15 AM: 23-55-102, 23-55-202(b), 23-55-204, 23-55-702, 23-55-702(a), 03-11-2025, 23-55-404(b), 23-55-501(b), 23-55-501, 23-55-603(b), 23-55-608
Old version HB1467 V3 - 3-17-2025 11:44 AM: 23-55-102, 23-55-202(b), 23-55-204, 23-55-702, 23-55-702(a), 03-17-2025, 23-55-404(b), 23-55-501(b), 23-55-501, 23-55-603(b), 23-55-608
Old version HB1467 Original - 2-12-2025 03:41 PM: 23-55-102, 23-55-202(b), 23-55-204, 23-55-702, 23-55-702(a), 23-55-404(b), 23-55-501(b), 23-55-501, 23-55-603(b), 23-55-608
HB 1467: 23-55-102, 23-55-202(b), 23-55-204, 23-55-702, 23-55-702(a), 23-55-404(b), 23-55-501(b), 23-55-501, 23-55-603(b), 23-55-608
Act 557: 23-55-102, 23-55-202(b), 23-55-204, 23-55-702, 23-55-702(a), 03-17-2025, 23-55-404(b), 23-55-501(b), 23-55-501, 23-55-603(b), 23-55-608