Sponsors (5)
Want me to put this bill in plain English?
This is not an official government website.
Copyright © 2026 PLEJ LC. All rights reserved.
Requires physical virtual‑currency kiosk operators to register each kiosk location and submit detailed operator, kiosk, operation‑date, and virtual‑currency address information to the Treasury on a recurring basis, and imposes new consumer‑protection and anti‑fraud rules for kiosks. Establishes reporting intervals, minimum compliance controls (warnings, receipts, blockchain analytics, live customer service, refund/penalty rules, transaction limits for new customers, a full‑time compliance officer), authorizes civil penalties for violations, and takes effect 90 days after enactment.
Amend section 5330 of title 31, United States Code, by updating subsection (d) to add paragraph (3) that references the meanings of the terms “virtual currency,” “virtual currency address,” “virtual currency kiosk,” and “virtual currency kiosk operator” as given in section 5337.
Add a new subsection (f) titled “Registration of virtual currency kiosk locations,” establishing the Secretary of the Treasury’s authority to require registration of kiosk locations.
Deadline and frequency: Not later than 90 days after the effective date of the subsection, and thereafter at least once every 90 days, the Secretary must require virtual currency kiosk operators to submit an updated list containing the physical address of each virtual currency kiosk they own or operate.
Content of each submission: Each submission must include (A) the legal name of the virtual currency kiosk operator; (B) any fictitious or trade name; (C) the physical address of each kiosk in the United States or U.S. territories; (D) the start date of operation of each kiosk; (E) the end date of operation for each kiosk, if applicable; and (F) each virtual currency address used by the operator.
False or incomplete information: Filing false or materially incomplete information in a required submission shall be deemed a failure to comply with the subsection’s requirements.
Who is affected and how:
• Kiosk operators (primary effect): Physical virtual‑currency kiosk operators must build and maintain a recurring reporting process, collect and store kiosk‑level and virtual‑address data, implement anti‑fraud systems (including blockchain analytics), hire or assign a full‑time compliance officer, provide live customer service, and change point‑of‑sale procedures to display warnings/print receipts and enforce transaction limits. These requirements create new compliance costs (systems, staff, recordkeeping) and legal exposure to civil penalties for noncompliance.
• Consumers and kiosk customers: The rule increases disclosures (warnings and receipts), access to live customer service, and refunds/penalty processes designed to protect consumers and reduce fraud. However, new transaction limits for new customers may restrict larger purchases at kiosks or require alternative channels.
• Department of the Treasury and regulators: Treasury must receive, process, and enforce recurring registrations and administer civil penalties. Treasury may need to create systems and guidance, and coordinate with State authorities on enforcement and legal interactions.
• Law enforcement and investigators: Access to regular, location‑level reporting and virtual‑address data improves traceability of funds and may aid fraud and criminal investigations. The requirement to provide law‑enforcement contacts simplifies reporting of suspicious activity.
• Financial and fintech industry: Indirect effects include increased data available about cash‑to‑crypto flows and a potential shift of some high‑value or high‑risk customers away from kiosks toward other regulated channels. Blockchain analytics vendors and compliance‑service providers may see increased demand.
• Privacy and data‑security considerations: Collecting and storing kiosk transaction and virtual‑address data raises privacy and security risks for customers and operators; operators will need secure recordkeeping and may face additional liability if data are mishandled.
Overall effect: The legislation strengthens federal oversight and consumer protections for physical crypto kiosks, likely reducing certain kiosk‑based fraud but increasing compliance costs and operational burdens for kiosk operators. The rule requires coordination between federal enforcement and State laws and will shift some enforcement and data‑management work to Treasury and private operators.
Amends 31 U.S.C. 5330 by (1) inserting definitions for virtual currency, virtual currency address, virtual currency kiosk, and virtual currency kiosk operator (referencing section 5337) into subsection (d), and (2) adding subsection (f) requiring registration of virtual currency kiosk locations and periodic submissions of kiosk physical addresses and related information.
Adds a new section 5337 to Subchapter II of Chapter 53, Title 31 establishing 'Virtual currency kiosk fraud prevention' including definitions, required disclosures, receipt content and physical receipt requirement, acknowledgement of disclosures, anti‑fraud policy and submission to FinCEN, designation of a compliance officer, mandatory use of blockchain analytics, verbal confirmation rules for new customers, refund procedures and enhanced damages, transaction limits for new customers, customer service helpline requirements, communications channels for law enforcement, civil monetary penalties, and preemption rules regarding conflicting State law.
Expand sections to see detailed analysis
Read twice and referred to the Committee on Banking, Housing, and Urban Affairs. (Sponsor introductory remarks on measure: CR S1347-1348; text: CR S1348-1350)
Introduced February 25, 2025 by Richard Joseph Durbin · Last progress February 25, 2025
Read twice and referred to the Committee on Banking, Housing, and Urban Affairs. (Sponsor introductory remarks on measure: CR S1347-1348; text: CR S1348-1350)
Introduced in Senate