Vic Lance is the founder and president of Lance Surety Bond Associates . He is a surety bond expert who graduated from Villanova University with a degree in Business Administration, and holds a Masters in Business Administration (MBA) from the University of Michigan’s Ross School of Business.
In this feature, Lance discusses a recent legislative update in New Hampshire that classifies bitcoin sellers as money transmitters. If you sell or trade bitcoins in the state of New Hampshire, you’ve probably heard the big news: as of January 1st, 2016, bitcoin sellers are considered money transmitters under New Hampshire law, and must be licensed and bonded as such.
With this legislation, New Hampshire is following the lead of the federal government, which is leading the push to regulate bitcoin sellers as money transmitters.
Still, it’s come as a surprise to many that the home of the Free State Project, and the famously libertarian motto “Live Free or Die,” is one of the first states to adopt these regulations. Users, exchangers, and administrators
Under the new law, anyone who exchanges a digital currency for any other currency (digital or government-issued) is designated as an “exchanger,” and must become a licensed and bonded money transmitter.
Administrators, who must also be licensed and bonded as money transmitters, are those whose businesses include entering virtual currency into circulation and have the authority to redeem such currency from circulation.
The only ones not affected by the law are those strictly designated “virtual currency users", or individuals who possess virtual currency and use it to buy themselves goods or services. New license, bond requirements
These newly-minted money transmitters must have a state-issued money transmitter’s license and post a $100,000 money transmitter bond. As it does for all money transmitters, the bond requirement is designed to protect the public and […]
