On Apr. 14, ARK LEG approved bill re the Uniform money services act.
ARK LEG approved Bill HB 1467 which aims to amend the Uniform money services act.
Amends provisions under ARK LEG 23-55 to add definitions related to virtual currency.
Also incorporates definitions re information security, and multi-factor authentication.
Uniform Money Services Act
Requires satisfactory surety bond to secure faithful performance of license obligations re receipt, handling, transmission, and payment of money for money transmission.
Commissioner can request applicant to obtain additional security coverage to address related cybersecurity risks inherent in virtual currency transmission business model.
Bond also allows a suit to be brought by a person who has cause for action against it.
On or before Apr. 1 of each year, licensee will provide training materials to authorized delegate engaged in money transmission business, within 1 month of its appointment.
Licensee or authorized delegate will include a clear, concise, conspicuous fraud warning posted in a conspicuous area or on a transmittal, with appropriate contact details.
Also includes requirements, disclosures related to operation of a virtual currency kiosk.
Requires financial institution to establish plan re business continuity/disaster recovery.
Legislative History
On Feb. 12, 2025, bill introduced in House; on Mar. 20, 2025, bill was passed in House.
On Mar. 20, 2025, bill delivered to Senate; on Apr. 8, 2025, bill was passed in Senate.
On Apr. 9, 2025, bill delivered to governor; on Apr. 14, bill HB1467 became Act 557.
Effectiveness
Act 557 effective 90 days after legislature adjourned sine die, so Aug. 5, 2025.
Regulators
ARK LEG
Entity Types
CNSM; Corp
Reference
PR, Act 557, HB1467, 4/14/2025; Citation: ARK LEG 23-55;
