The General Assembly Raised Bill No. 6991 seeks to modernize the definitions and regulations related to money transmission, particularly in light of advancements in technology. Key insertions include the definitions of "digital wallet," which encompasses electronic functionalities for storing and processing payment credentials, and "money transmission," which now explicitly includes digital wallets and mobile applications. The bill also introduces the term "passive investor," defining it as an individual without managerial control over a licensee, and clarifies the concept of "control" concerning voting shares and influence over a licensee's management. Additionally, several existing definitions, such as "existing customer" and "new customer," are repealed and replaced, while the definition of "holder" is modified to exclude those in possession of lost or stolen instruments.

Moreover, the bill introduces a comprehensive definition of "permissible investment," detailing acceptable forms of cash and financial instruments for investment purposes, and defines "virtual currency" as any digital unit used for exchange or stored value, with certain exclusions. It also clarifies the definition of "stored value" to include claims against issuers and specifies that electronic records must be retrievable in perceivable form. Advertising regulations for money transmission licensees are updated to prohibit misleading claims regarding FDIC protections for deposited funds, and it mandates the display of licensed individuals' unique identifiers in advertising materials. The changes are set to take effect on October 1, 2025.

Statutes affected:
Raised Bill: