The proposed bill S.69, known as the Vermont Age-Appropriate Design Code Act, seeks to enhance the protection of minors' personal information in the digital realm by imposing strict regulations on businesses that provide online services likely to be accessed by children. It introduces a new subchapter to existing law, defining key terms such as "covered business," which refers to any entity that collects personal data from minors. The bill outlines guidelines for age assurance methods and emphasizes the need to protect sensitive information, including biometric and genetic data, thereby creating a safer online environment for children.

Additionally, the bill establishes specific responsibilities for social media platforms regarding the handling of minors' data, including a minimum duty of care to prevent emotional distress and compulsive use. It mandates default privacy settings that prioritize minors' privacy and restricts the collection of personal data to what is necessary for service provision. The legislation also includes exclusions for government entities and certain health-related information, while granting the Attorney General the authority to enforce compliance. Set to take effect on July 1, 2026, S.69 aims to safeguard the rights and freedoms of minors in the digital landscape.