California Bill Proposes License Requirement for Bitcoin Businesses
A bill introduced to the California legislature aims to bring virtual currency businesses more clearly under the state's Money Transmission Act. Penned by Assemblyman Matt Dababneh, chairman of the state's Banking and Finance Committee, AB-1326 would prohibit virtual currency businesses from operating unless they are licensed by the Department of Business Oversight (DBO) or have received an exemption from the agency. Similar to the general financial code, license applicants would need to pay a non-refundable $5,000 fee to register; provide certain identifying information; and keep a....
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Just when the things were looking right for Bitcoin in the State of California, a new draconian bill jumped in to step on the silver platter. Proposed by Californian Assembly Member Matt Dababneh, the Bill AB 1326 proposes an enduring law that could ban unlicensed Bitcoin businesses in the state. The real trouble however lies in the fact that the bill never categorizes the kind of businesses that come under the newly proposed law. So in case one wants to, say, build a new Bitcoin-based feature, he/she would be required to obtain a license from the Commissioner of Business Oversight after....
California may have a wealth of tech-savvy entrepreneurs anxious to create new businesses. But the state's lawmakers aren't doing them any favors as they move forward on a virtual currency license that saddles businesses with fees, paperwork and uncertainties. Businesses would have to pay a non-refundable fee of $5,000 just to apply for the license from the Commissioner of Business Oversight. Which makes one wonder about the bill's real intent. The Golden State's lawmakers aren't taking any time to study the ramifications of New York's recently-released Bitlicense before requiring their....
The state of California is once again moving forward with legislation that would update its money transmitter rules to capture businesses engaged in digital currency activities. Deemed inactive last September, Assembly Bill 1326 was re-introduced by the legislature this week and has since been read and amended. Given the discussion that surrounded earlier versions of the bill, the update is already being scrutinized, though signs suggest pros and cons remain. Most notably, the bill no longer proposes to license businesses engaged in financial applications of the technology, but would....
The highly controversial California AB 1326, often referred to as “California’s BitLicense” has failed to pass in the Legislature. The bill, which would require Bitcoin many Bitcoin businesses operating in California to apply for a state-issued License, failed to pass before the September 11 deadline. The strict nature of the bill has led the Bitcoin community to compare it to New York’s BitLicense, which has forced many Bitcoin businesses to cut off their services to New York. The California Bitcoin bill garnered large amounts of criticism from the Bitcoin community, as well as....
California's State Assembly has approved a bill calling for digital currency companies to be regulated in a similar way to banks. Formulated by Assemblyman Matt Dababneh, chairman of California's Banking and Finance Committee, bill AB-1326 was approved following a 55-22 vote in favour. Currently undergoing review by California's Senate - having already completed the first of three readings - if passed, the bill would require digital currency businesses to obtain an annually renewable license from the Department of Business Oversight (DBO), unless they are exempt from doing so by the....