STATE OF NEW YORK
________________________________________________________________________
10246
IN ASSEMBLY
February 12, 2026
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Introduced by M. of A. LEE -- read once and referred to the Committee on
Banks
AN ACT to amend the financial services law, in relation to prohibiting
unlicensed activities of virtual currency businesses
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The financial services law is amended by adding a new
2 section 408-b to read as follows:
3 § 408-b. Unlicensed virtual currency businesses. (a) For the purposes
4 of this section, a "prohibited unlicensed virtual currency act" shall
5 mean engaging in an activity in this state for which a license is
6 required by the department, without such license.
7 (b) In addition to any civil or criminal liability provided by law:
8 (1) any person who engages in a prohibited unlicensed virtual currency
9 act shall be guilty of a class A misdemeanor;
10 (2) any person who engages in a prohibited unlicensed virtual currency
11 act, and in the course of that violation engages in virtual currency
12 business activity, as defined by the department, that receives for tran-
13 smission, transmits, stores, holds, maintains custody or control, buys,
14 sells, provides exchange services, administers, or issues virtual
15 currency: (A) with a total value of twenty-five thousand dollars or more
16 during a period of thirty days or less, or a total of two hundred fifty
17 thousand dollars or more during a period of one year or less; or (B)
18 knowing said virtual currency to be the proceeds of any criminal
19 conduct, shall be guilty of a class E felony;
20 (3) any person who engages in a prohibited unlicensed virtual currency
21 act, and in the course of that violation engages in virtual currency
22 business activity, as defined by the department, that receives for tran-
23 smission, transmits, stores, holds, maintains custody or control, buys,
24 sells, provides exchange services, administers, or issues virtual
25 currency with a total value of fifty thousand dollars or more during a
26 period of thirty days or less, or a total of five hundred thousand
27 dollars or more during a period of one year or less, shall be guilty of
28 a class D felony; and
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD14435-01-6
A. 10246 2
1 (4) any person who engages in a prohibited unlicensed virtual currency
2 act, and in the course of that violation engages in virtual currency
3 business activity, as defined by the department, that receives for tran-
4 smission, transmits, stores, holds, maintains custody or control, buys,
5 sells, provides exchange services, administers, or issues virtual
6 currency with a total value of one hundred thousand dollars or more
7 during a period of thirty days or less, or a total of one million
8 dollars or more during a period of one year or less, shall be guilty of
9 a class C felony.
10 § 2. This act shall take effect immediately.
