SF 449 — A bill for an act relating to digital financial asset transaction kiosks and including penalties, and effective date and applicability provisions.

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Y !1191 I [111Ii1 ••7•:.Iï' 91 l I{1CII1 1 9Cl!I 1 ll 161IIi Senate File 449 AN ACT RELATING TO DIGITAL FINANCIAL ASSET TRANSACTION KIOSKS AND INCLUDING PENALTIES, AND EFFECTIVE DATE AND APPLICABILITY PROVISIONS.

Section 11. .

Charges“Charges” - means any of the following:

-Consumer“Consumer” - means either a new consumer or an existing consumer.

C.c.

"Digital“Digital financial assetasset” - means a virtual representation of value or rights that can be transferred, stored, or traded electronically and used for payment or investment purposes.

"Digital“Digital financial asset transaction kiosk"kiosk” means an electronic terminal acting as a mechanical agent of an operator to enable the operator to facilitate the exchange of a digital financial asset for money, bank credit, or other digital financial asset, including but not limited to any of the following:

Senate File 449, pp. .

2 ()(1) By connecting directly to a separate licensed digital financial asset exchange that performs the digital financial asset transaction.

()(2) By drawing upon a digital financial asset in the possession of the operator.

Existing“Existing consumerconsumer” - means an individual who is not a new consumer.

'Licensed“Licensed digital financial asset exchangeexchange” - means a digital financial asset exchange that is not an operator and that has a license under section 533C.301 to engage in the business of money transmission in this state.

'New“New consumerconsumer” - means an individual who has not previously engaged in a digital financial asset transaction with a particular operator.

"Operator“Operator” -meansmeans a person who owns, operates, or manages a digital financial asset transaction kiosk in this state.

"Transaction“Transaction hashhash” - means a unique identifier made up of a string of characters that act as a record of, and proof of, a digital financial asset transaction being verified and added to a blockchain.

In the thirty calendar days following a new consumer'sconsumer’s first financial asset transaction with a particular operator, the operator shall not, via a digital financial asset transaction kiosk, accept from the new consumer or dispense to the new consumer more than ten thousand dollars.

A disclosure required under paragraph -a-“a” shall be clear and conspicuous and provided separately from any other disclosures or information provided by the operator.

Prior to entering into a digital financial asset transaction with a consumer, an operator shall require the consumer to attest to receiving the disclosure required under paragraph a“a”. -.

For any digital financial asset transaction made at an operatorsoperator’s digital financial asset transaction kiosk, the operator shall provide the consumer with a receipt.

The legal name of the operator and the operator'soperator’s contact information, including a telephone number, that may be used by the consumer to get answers to questions and to register complaints.

(2) The legal name of the licensed digital financial asset exchange the operator used to calculate the charges described in subsection 11, , paragraph -a“a”, -, subparagraph ((2). 2).

A statement of the operator'soperator’s refund policy.

The division shall make each operator'soperator’s list available to the public via the division'sdivision’s internet site.

If an operator does not engage in digital financial asset transactions, but facilitates or permits another person to engage in digital financial asset transactions via the operatorsoperator’s digital financial asset transaction kiosk, the operator shall do all of the following:

Refunds ——— new consumers.

Refunds ——— existing consumers.

Enforcement ——— penalties.

The policies and procedures shall be reviewed and approved by the operator'soperator’s board of directors or an equivalent governing body of the operator.

C.c.

••r______________________________ ______________________________ AMY SINCVRSINCLAIR PAT GRASSLEY President of the Senate Speaker of the House I hereby certify that this bill originated in the Senate and is known as Senate File 449, Ninety-first General Assembly.