The bill S.129, introduced by Senator Cummings, seeks to amend Vermont law regarding the regulation of virtual-currency kiosk operators. Key changes include increasing the daily transaction limit for cash transactions with new customers from $1,000 to $2,000, while allowing existing customers to transact up to $5,000 in a day. The bill also introduces a new definition for "new customer" and "existing customer" based on the number of transactions completed and the time elapsed since the last transaction. Additionally, the cap on fees charged to customers is raised from three percent to 15 percent of the U.S. dollar equivalent of the virtual currency involved in the transaction.

Furthermore, the bill mandates comprehensive disclosures to customers regarding the risks associated with virtual currency transactions, including the lack of government backing and the potential for irreversible losses. It also requires virtual-currency kiosk operators to implement anti-fraud policies, maintain compliance and due diligence policies, and designate compliance and consumer protection officers. The act is set to take effect on July 1, 2025, and replaces a previous moratorium on the operation of virtual-currency kiosks in Vermont.

Statutes affected:
As Introduced: 8-2577