Virginia HB 665: Financial institutions and services; virtual currency kiosk operators, license required, penalties.

Bill Text

2026 SESSION

INTRODUCED

26105316D

HOUSE BILL NO. 665

Offered January 14, 2026

Prefiled January 13, 2026

A BILL to amend and reenact § 59.1-200 of the Code of Virginia and to amend the Code of Virginia by adding in Subtitle III of Title 6.2 a chapter numbered 22.2, consisting of sections numbered 6.2-2239 through 6.2-2267, relating to financial institutions and services; virtual currency kiosk operators; license required; penalties.

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Patrons—Maldonado, Glass, Shin, Anderson, Cole, N.T., Feggans, Rasoul and Simonds

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Referred to Committee on Communications, Technology and Innovation

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Be it enacted by the General Assembly of Virginia:

1. That § 59.1-200 of the Code of Virginia is amended and reenacted and that the Code of Virginia is amended by adding in Subtitle III of Title 6.2 a chapter numbered 22.2, consisting of sections numbered 6.2-2239 through 6.2-2267, as follows:

CHAPTER 22.2.

VIRTUAL CURRENCY KIOSKS.

§ 6.2-2239. Definitions.

As used in this chapter, unless the context requires a different meaning:

"Blockchain analytics" means the analysis of data from blockchains or public distributed ledgers, including associated transaction information.

"Blockchain analytics and tracing software" means a software service that uses blockchain analytics data to provide risk-specific information and tracing of virtual currency wallet addresses.

"Charge" means a fee or expense paid by a user, including any difference between the market price of virtual currency and the price of such virtual currency charged to the user. "Charge" includes standard transaction fees, fees for wallet creation, exchange fees, and transfer fees.

"Licensee" means a virtual currency kiosk operator licensed pursuant to the provisions of this chapter.

"Location" means the physical location of a virtual currency kiosk within the Commonwealth and includes an entity that allows a virtual currency kiosk to be operated on its premises.

"New user" means a person who completes fewer than three transactions through a virtual currency kiosk located in the Commonwealth within 14 business days. A person who transacts three times within 14 business days is considered a user and is no longer subject to the transaction limits applicable to new users.

"Principal" means any person that, directly or indirectly, owns or controls a 10 percent or greater interest in any form of entity.

"User" means any person who initiates, authorizes, or completes a transaction involving virtual currency through a virtual currency kiosk for the purpose of purchasing, selling, transferring, or otherwise exchanging virtual currency.

"Virtual currency" has the same meaning as provided in § 6.2-818.1.

"Virtual currency address" means an alphanumeric identifier associated with a virtual currency wallet identifying the location to which a virtual currency transaction can be sent.

"Virtual currency kiosk" means an electronic terminal operated by a virtual currency kiosk operator to facilitate the exchange of virtual currency for money, bank credit, or other virtual currency, including by connecting directly to a separate virtual currency exchange that performs the transmission of virtual currency or by drawing upon the virtual currency in the possession of the virtual currency kiosk operator.

"Virtual currency kiosk operator" or "operator" means a person that owns, operates, or manages a virtual currency kiosk located in the Commonwealth, regardless of whether such person provides custodial or non-custodial services.

"Virtual currency wallet" means a software application or other mechanism that provides a means to hold the keys necessary to access or transfer virtual currency.

§ 6.2-2240. Minimum standards.

The provisions of this chapter establish minimum standards of conduct for virtual currency kiosk operators, and no provision of this chapter shall be construed to (i) limit the authority of any county, municipality, or other political subdivision of the Commonwealth to adopt or enforce ordinances, regulations, resolutions, or rules that are more stringent than those set forth herein or (ii) preempt or nullify any local law that provides greater protections, requirements, or restrictions than those set forth herein.

§ 6.2-2241. License required.

No virtual currency kiosk operator shall (i) engage or offer to engage in a virtual kiosk currency transaction with or on behalf of any other person or (ii) locate or permit a third party to locate a virtual currency kiosk in the Commonwealth, except after first obtaining a license from the Commission pursuant to this chapter. Any virtual currency transaction made in violation of this section is void, and no person shall have the right to collect, receive, or retain any charge in connection with such transaction.

§ 6.2-2242. Application for license; form; content; fee.

A. An application for a license under this chapter shall be made in writing, under oath, and on a form provided by the Commiss