VermontVermont regulates financial services and bans virtual currency kiosks
Act 142 sets licensing, insurance, and securities rules for financial businesses and stops virtual currency kiosks from operating in Vermont on July 1, 2026.
What it does
Virtual currency kiosks would not be allowed to operate in Vermont starting July 1, 2026.
Providers of merchant cash advances would need a Vermont financial regulator’s license before transacting business in the state.
Securities rules would tighten a small-offering notice exemption, limit certain restitution awards to Vermont residents, and require cybersecurity insurance for registered investment advisers.
Argument forLicensing merchant cash-advance providers and requiring cybersecurity insurance may give Vermont regulators more tools to oversee financial businesses and protect customers.
Argument againstBanning virtual currency kiosks could remove a way for some Vermont residents to access virtual-currency services in person.
More detail
Virtual currency kiosks would be prohibited from operating in Vermont. The prohibition covers virtual currency kiosks operating in Vermont. The prohibition begins July 1, 2026.
People and businesses providing commercial financing through merchant cash advances would need a license from the Department of Financial Regulation. The requirement covers providers of commercial financing commonly called merchant cash advances who transact business in Vermont. The license would be required from the Department of Financial Regulation.
Securities businesses would follow revised notice-filing, penalty, restitution, and cybersecurity-insurance rules. The provisions cover certain securities offerings, securities-fraud penalties, restitution from the state special fund, and registered investment advisers. The notice-filing exemption would cover no more than 10 Vermont purchasers and would exclude certain unregistered federal covered securities, including Rule 506 private placements. Restitution awards would be limited to people who were Vermont residents when the securities-law violation occurred. Registered investment advisers would maintain cybersecurity insurance under criteria set by the Commissioner of Financial Regulation. The act has multiple effective dates beginning July 1, 2026; the supplied text does not identify the effective date for each securities provision.
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Where it stands
- Introduced
- Passed 1st Chamber
- Passed 2nd Chamber
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2026
- May 29House message: Governor approved bill on June 16, 2026Latest
- May 29Signed by Governor Phil Scott on June 16, 2026Became Law
- May 29Delivered to Governor on June 10, 2026To Governor
- May 21Senate Message: House proposal of amendment to Senate proposal of amendment concurred inMinor
- May 21Rules suspended & messaged to House forthwith, on motion of Senator Baruth
- May 21House proposal of amendment to Senate proposal of amendment concurred inMinor
- May 21House proposal of amendment to Senate proposal of amendment, textMinor
- May 21Unfinished Business/House Proposal of AmendmentMinor
- May 20House proposal of amendment to Senate proposal of amendmentMinor
- May 19House proposal of amendment to Senate proposal of amendmentMinor
- May 19Entered on Notice Calendar
- May 19House message: House concurred in Senate proposal of amendment with proposal of amendmentMinor
- May 14Senate proposal of amendment concurred in with further amendment thereto, as offered by Rep. Olson of StarksboroMinor
- May 14Action Calendar: Action postponed until May 14, 2026
- May 13Rep. Olson of Starksboro moved to postpone action until May 14, 2026, which was agreed to
- May 13Action Calendar: Action postponed until May 13, 2026
- May 12Action Calendar: Action postponed until May 13, 2026
- May 8Rep. Olson of Starksboro moved to postpone action until May 13, 2026, which was agreed to
- May 8Action Calendar: Senate Proposal of AmendmentMinor
- May 7Notice Calendar: Senate Proposal of AmendmentMinor
- May 6Senate Message: Passed in concurrence with proposal of amendmentMinor
- May 5Read 3rd time & passed in concurrence with proposal of amendmentPassed 2nd Chamber
- May 5New Business/Third ReadingMinor
- May 13rd reading ordered
- May 1Proposal of amendment by Committee on Finance agreed toMinor
- May 1Reported favorably by Senator Norris for Committee on AppropriationsMinor
- May 1Read 2nd time, reported favorably with proposal of amendment by Senator Hardy for Committee on FinanceMinor
- May 1Favorable report by Committee on AppropriationsMinor
- May 1Favorable report with proposal of amendment by Committee on FinanceMinor
- May 1Unfinished Business/Second ReadingMinor
- Apr 30Favorable report with proposal of amendment by Committee on AppropriationsMinor
- Apr 30Favorable report with proposal of amendment by Committee on FinanceMinor
- Apr 30Unfinished Business/Second ReadingMinor
- Apr 29Favorable report by Committee on AppropriationsMinor
- Apr 29Favorable report with proposal of amendment by Committee on FinanceMinor
- Apr 29New Business/Second ReadingMinor
- Apr 28Favorable report by Committee on AppropriationsMinor
- Apr 28Favorable report with proposal of amendment by Committee on FinanceMinor
- Apr 28Second ReadingMinor
- Apr 28Entered on Notice Calendar
- Apr 22Referred to Committee on Appropriations per Senate Rule 31
- Apr 22Favorable report with proposal of amendment by Committee on FinanceMinor
- Apr 22Second ReadingMinor
- Apr 22Entered on Notice Calendar
- Feb 4Read 1st time & referred to Committee on FinanceMinor
- Jan 30Read third time and passedPassed 1st Chamber
- Jan 30Rep. Olson of Starksboro moved to amend the bill, which was agreed to
- Jan 30Action Calendar: Third ReadingMinor
- Jan 29Third Reading orderedMinor
- Jan 29Report of Committee on Commerce and Economic Development agreed to
- Jan 29Rep. Nigro of Bennington recommended for the Committee on Appropriations
- Jan 29Rep. Burkhardt of South Burlington recommended for the Committee on Ways and Means
- Jan 29Rep. Olson of Starksboro reported for the Committee on Commerce and Economic Development
- Jan 29Read second timeMinor
- Jan 29Action Calendar: Favorable with Amendment
- Jan 28Notice Calendar: Favorable with Amendment
- Jan 22Referred to Committee on Appropriations per Rule 35(a)
- Jan 22Notice Calendar: Favorable with Amendment
- Jan 20Referred to Committee on Ways and Means per Rule 35(a)
- Jan 20Notice Calendar: Favorable with Amendment
- Jan 13Read first time and referred to the Committee on Commerce and Economic DevelopmentIntroduced
Consumer ProtectionGovernment & EthicsCivil Rights & Voting