CALIFORNIA VIRTUAL CURRENCY REGULATION LAWYER
Bitcoin and other virtual currencies’ based businesses are subject to various state and federal regulations, including without limitation, money transmissions laws, FINCEN, securities, banking, and financial laws. On October 13, 2023, California Gov. Gavin Newsom signed two bills into law that will impose obligations on companies engaged in virtual currency activities in California and with California residents. The first bill (AB 39) – the California Digital Financial Assets Law (DFAL) – is a new virtual currency licensing regime with similarities to New York’s virtual currency regulations, which require entities conducting virtual currency business activity in New York to obtain a “BitLicense” (or a charter under the New York Banking Law). The licensing and regulation will be administrative by DFPI. The second bill (SB 401) is tied to the DFAL and specifically regulates “digital financial asset transaction kiosks,” which are generally defined as devices that are “capable of accepting or dispensing cash in exchange for a digital financial asset.”
Services we provide to Bitcoin and other virtual currencies’ based businesses:
- Licensing of Bitcoin and other virtual currencies’ based businesses, including without limitation, BitLicense, future California license to be administered by DFPI, and money transmission.
- Advice about regulatory compliance
- Contracts and required documents drafting
- FINCEN’s MSB filings.
- Corporate formation and representation of Bitcoin and other virtual currencies’ based startups.
- Drafting of PPMs and private offerings’ securities law advise concerning Bitcoin and other virtual currencies’ based businesses
- M&A transactions concerning Bitcoin and other virtual currencies’ based businesses.
- Representation in defense of administrative enforcement actions.
Please call or e-mail a CALIFORNIA VIRTUAL CURRENCY REGULATION LAWYER to discuss your California virtual currency regulation needs.