Bill > S0129

This bill proposes comprehensive new regulations for virtual-currency kiosk operators in Vermont, significantly expanding consumer protections and operational requirements. The bill increases daily transaction limits from $1,000 to $2,000 for new customers and allows up to $5,000 for existing customers, defines new customer categories, and raises the maximum transaction fee from 3% to 15%. The legislation mandates extensive disclosure requirements, including detailed explanations of risks associated with virtual currency, such as lack of government backing, potential for fraud, price volatility, and technological vulnerabilities. Virtual-currency kiosk operators must now provide live customer service, implement blockchain analytics to prevent fraudulent transactions, develop written anti-fraud and enhanced due diligence policies, and designate both a compliance officer and a consumer protection officer who meet specific qualifications. The bill requires operators to display prominent warnings about potential scams and irreversible transactions, and ensures customers understand the risks before conducting virtual currency transactions. These new regulations aim to protect consumers by increasing transparency, preventing fraud, and ensuring that virtual-currency kiosk operators maintain robust internal controls and compliance mechanisms. The bill is set to take effect on July 1, 2025, giving operators time to adapt to the new requirements.

Budget and Finance

https://legislature.vermont.gov/bill/status/2026/S.129