Florida Senate - 2026                       CS for CS for SB 314
       
       
        
       By the Committees on Rules; and Banking and Insurance; and
       Senator Burton
       
       
       
       
       595-03180-26                                           2026314c2
    1                        A bill to be entitled                      
    2         An act relating to payment stablecoin; amending s.
    3         560.103, F.S.; revising the definition of the term
    4         “money services business”; defining terms; amending s.
    5         560.123, F.S.; revising the Florida Control of Money
    6         Laundering in Money Services Business Act to include
    7         payment stablecoins; requiring certain payment
    8         stablecoin issuers to comply with certain regulations;
    9         requiring qualified payment stablecoin issuers to
   10         submit a specified certification to the Office of
   11         Financial Regulation annually; requiring the office to
   12         make such certifications available to the Secretary of
   13         the Treasury upon request; authorizing the office to
   14         revoke the license of qualified payment stablecoin
   15         issuers under certain circumstances; providing
   16         criminal penalties; amending s. 560.125, F.S.;
   17         revising the circumstances relating to violations of
   18         certain provisions; revising penalties; creating part
   19         V of ch. 560, F.S., entitled “Payment Stablecoin
   20         Issuers”; creating s. 560.501, F.S.; defining terms;
   21         prohibiting persons from engaging in the activity of a
   22         qualified payment stablecoin issuer without being
   23         licensed or exempted from licensure; requiring the
   24         office to give a specified written notice under
   25         certain circumstances; providing applicability;
   26         requiring out-of-state state-qualified payment
   27         stablecoin issuers to provide a specified written
   28         notice to the office within a specified timeframe;
   29         specifying that certain transactions are not regulated
   30         under certain provisions; specifying that certain
   31         stablecoin is not a security and not subject to
   32         certain provisions; requiring certain qualified
   33         payment stablecoin issuers to comply with certain
   34         requirements under certain circumstances; requiring
   35         certain qualified payment stablecoin issuers to
   36         provide a specified notice to the office; specifying
   37         that qualified payment stablecoin issuers are subject
   38         to certain provisions under certain circumstances;
   39         specifying that the office remains solely responsible
   40         for supervising qualified payment stablecoin issuers
   41         or is jointly responsible with the United States
   42         Office of the Comptroller of the Currency for such
   43         supervision under certain circumstances; authorizing
   44         the office to enter into an specified agreement;
   45         creating s. 560.502, F.S.; requiring applicants
   46         seeking to be a qualified payment stablecoin issuer to
   47         submit a specified application to the office;
   48         specifying requirements of such application; requiring
   49         the office to comply with certain requirements;
   50         authorizing certain information to be incorporated
   51         into other licensing application forms; creating s.
   52         560.503, F.S.; specifying that licensed qualified
   53         payment stablecoin issuers may only engage in certain
   54         activities; creating s. 560.504, F.S.; requiring
   55         qualified payment stablecoin issuers to comply with
   56         certain requirements; providing criminal penalties;
   57         prohibiting qualified payment stablecoin issuers from
   58         engaging in certain conduct; creating s. 560.505,
   59         F.S.; requiring the office to submit initial
   60         certification to a specified committee on a specified
   61         form in accordance with a specified timeline;
   62         requiring the office to submit a specified additional
   63         certification no later than a specified date;
   64         requiring the office to comply with certain
   65         requirements; creating s. 560.506, F.S.; requiring the
   66         Financial Services Commission to adopt specified
   67         rules; amending s. 655.50, F.S.; revising the
   68         definition of the term “monetary instruments”;
   69         requiring qualified payment stablecoin issuers to
   70         comply with certain provisions; requiring qualified
   71         payment stablecoin issuers to submit to the office a
   72         specified certification no later than a specified
   73         date; requiring the office to make such certification
   74         available to the Secretary of the Treasury upon
   75         request; authorizing the office to revoke the license
   76         of qualified payment stablecoin issuers under certain
   77         circumstances; providing criminal penalties; amending
   78         s. 658.19, F.S.; revising the application requirements
   79         for the application for authority to organize a bank
   80         or trust company; creating s. 658.997, F.S.; defining
   81         terms; prohibiting a trust company from engaging in
   82         the activity of a qualified payment stablecoin issuer
   83         unless the trust company obtains a certificate of
   84         approval or is exempted from such certificate;
   85         requiring a trust company to request a specified
   86         certificate in conjunction with a specified
   87         application to obtain such certificate or apply for
   88         the certificate; specifying application requirements;
   89         requiring the office to comply with certain
   90         requirements; requiring that the application be deemed
   91         approved under certain circumstances; providing that
   92         denial of an application does not prohibit an
   93         applicant from filing a subsequent application;
   94         specifying that failure to comply with certain
   95         provisions is considered good cause for revocation of
   96         a certificate of approval; requiring the office to
   97         give a specified notice to a qualified payment
   98         stablecoin issuer within a specified timeframe;
   99         providing applicability; requiring out-of-state state
  100         qualified payment stablecoin issuers to provide a
  101         specified written notice to the office within a
  102         specified timeframe; specifying that certain
  103         transactions are not regulated under certain
  104         provisions; specifying that certain stablecoin is not
  105         a security and not subject to certain provisions;
  106         requiring certain qualified payment stablecoin issuers
  107         to comply with certain requirements under certain
  108         circumstances; requiring certain qualified payment
  109         stablecoin issuers to provide a specified notice to
  110         the office; specifying that qualified payment
  111         stablecoin issuers are subject to certain provisions
  112         under certain circumstances; specifying that the
  113         office remains solely responsible for supervising
  114         qualified payment stablecoin issuers or is jointly
  115         responsible with the United States Office of the
  116         Comptroller of the Currency for such supervision under
  117         certain circumstances; authorizing the office to enter
  118         into an specified agreement; authorizing qualified
  119         payment stablecoin issuers to engage in certain
  120         activities; requiring qualified payment stablecoin
  121         issuers to comply with certain requirements;
  122         prohibiting qualified payment stablecoin issuers from
  123         engaging in certain conduct; requiring that the
  124         office’s initial and annual recertification include
  125         certain information; providing for certain rule
  126         adoption by the commission; providing effective dates.
  127          
  128  Be It Enacted by the Legislature of the State of Florida:
  129  
  130         Section 1. Present subsections (17) through (32), (33),
  131  (34), and (35) and (36) through (39) of section 560.103, Florida
  132  Statutes, as amended by chapter 2025-100, Laws of Florida, are
  133  redesignated as subsections (18) through (33), (35), (36), and
  134  (37), and (39) through (42), respectively, new subsections (17)
  135  and (34) and subsection (38) are added to that section, and
  136  present subsection (25) of that section is amended, to read:
  137         560.103 Definitions.—As used in this chapter, the term:
  138         (17) “Federal-qualified payment stablecoin issuer” means
  139  any of the following:
  140         (a) A nonbank entity, other than a state-qualified payment
  141  stablecoin issuer, approved by the Office of the Comptroller of
  142  the Currency to issue payment stablecoins.
  143         (b) An uninsured national bank that is chartered by the
  144  Office of the Comptroller of the Currency pursuant to title LXII
  145  of the Revised Statutes and is approved to issue payment
  146  stablecoins. As used in this section, the term “national bank”
  147  has the same meaning as in the GENIUS Act, Pub. L. No. 119-27.
  148         (c) A federal branch that is approved by the Office of the
  149  Comptroller of the Currency to issue payment stablecoins. For
  150  purposes of this section, the term “federal branch” has the same
  151  meaning as in section 3 of the Federal Deposit Insurance Act, 12
  152  U.S.C. s. 1813.
  153         (26)(25) “Money services business” means any person located
  154  in or doing business in this state, from this state, or into
  155  this state from locations outside this state or country who acts
  156  as a payment instrument seller, foreign currency exchanger,
  157  check casher, or money transmitter, or qualified payment
  158  stablecoin issuer.
  159         (34)“Payment stablecoin” means a digital asset that meets
  160  all of the following requirements:
  161         (a)1.Is, or is designed to be, used as a means of payment
  162  or settlement; and
  163         2. The issuer of which:
  164         a. Is obligated to convert, redeem, or repurchase the
  165  digital asset for a fixed amount of monetary value, not
  166  including a digital asset denominated in a fixed amount of
  167  monetary value.
  168         b. Represents that such issuer will maintain, or create the
  169  reasonable expectation that it will maintain, a stable value
  170  relative to the value of a fixed amount of monetary value.
  171         (b)The term does not include a digital asset that is any
  172  of the following:
  173         1. A national currency. For purposes of this subparagraph,
  174  the term “national currency” means each of the following:
  175         a. A Federal Reserve note as the term is used in the first
  176  undesignated paragraph of s. 16 of the Federal Reserve Act, 12
  177  U.S.C. s. 411.
  178         b. Money standing to the credit of an account with a
  179  Federal Reserve Bank.
  180         c. Money issued by a foreign central bank.
  181         d. Money issued by an intergovernmental organization
  182  pursuant to an agreement by two or more governments.
  183         2. A deposit as defined in s. 3 of the Federal Deposit
  184  Insurance Act, 12 U.S.C. s. 1813, including a deposit recorded
  185  using distributed ledger technology. For purposes of this
  186  subparagraph, the term “distributed ledger” means technology in
  187  which data is shared across a network that creates a public
  188  digital ledger of verified transactions or information among
  189  network participants and cryptography is used to link the data
  190  to maintain the integrity of the public ledger and execute other
  191  functions.
  192         3. A security, as defined in s. 517.021, s. 2 of the
  193  Securities Act of 1933, 15 U.S.C. s. 77b, s. 3 of the Securities
  194  and Exchange Act of 1934, 15 U.S.C. s. 78c, or s. 2 of the
  195  Investment Company Act of 1940, 15 U.S.C. s. 80a-2.
  196         (c)As used in this subsection, the term “digital asset”
  197  means any digital representation of value recorded on a
  198  cryptographically secured digital ledger.
  199         (38)“Qualified payment stablecoin issuer” means an entity
  200  that:
  201         (a) Is legally established under the laws of a state and
  202  approved to issue payment stablecoins by the office; and
  203         (b) Is not an uninsured national bank chartered by the
  204  Comptroller pursuant to title LXII of the Revised Statutes, a
  205  federal branch, an insured depository institution, or a
  206  subsidiary of such national bank, federal branch, or insured
  207  depository institution. The terms “national bank” and “federal
  208  branch” have the same meaning as in subsection (17). The term
  209  “insured depository institution” has the same meaning as defined
  210  in s. 3 of the Federal Deposit Insurance Act, 12 U.S.C. s. 1813,
  211  and an insured credit union.
  212         Section 2. Effective October 1, 2026, present subsection
  213  (9) of section 560.123, Florida Statutes, is redesignated as
  214  subsection (10), a new subsection (9) is added to that section,
  215  and subsections (2), (3), and (8) of that section are amended,
  216  to read:
  217         560.123 Florida Control of Money Laundering in Money
  218  Services Business Act.—
  219         (2) The purpose of this section is to require the
  220  maintenance of certain records of transactions involving
  221  currency, monetary value, payment instruments, or virtual
  222  currency, or payment stablecoins in order to deter the use of a
  223  money services business to conceal proceeds from criminal
  224  activity and to ensure the availability of such records for
  225  criminal, tax, or regulatory investigations or proceedings.
  226         (3) A money services business shall keep a record, as
  227  prescribed by the commission, of each financial transaction
  228  occurring in this state which it knows to involve currency,
  229  monetary value, a payment instrument, or virtual currency, or a
  230  payment stablecoin having a value greater than $10,000; to
  231  involve the proceeds of specified unlawful activity; or to be
  232  designed to evade the reporting requirements of this section or
  233  chapter 896. The money services business must maintain
  234  appropriate procedures to ensure compliance with this section
  235  and chapter 896.
  236         (a) Multiple financial transactions shall be treated as a
  237  single transaction if the money services business has knowledge
  238  that they are made by or on behalf of any one person and result
  239  in value in or value out totaling a value of more than $10,000
  240  during any day.
  241         (b) A money services business may keep a record of any
  242  financial transaction occurring in this state, regardless of the
  243  value, if it suspects that the transaction involves the proceeds
  244  of unlawful activity.
  245         (c) The money services business must file a report with the
  246  office of any records required by this subsection, at such time
  247  and containing such information as required by rule. The timely
  248  filing of the report required by 31 U.S.C. s. 5313 with the
  249  appropriate federal agency shall be deemed compliance with the
  250  reporting requirements of this subsection unless the reports are
  251  not regularly and comprehensively transmitted by the federal
  252  agency to the office.
  253         (d) A money services business, or control person, employee,
  254  or agent thereof, that files a report in good faith pursuant to
  255  this section is not liable to any person for loss or damage
  256  caused in whole or in part by the making, filing, or
  257  governmental use of the report, or any information contained
  258  therein.
  259         (8)(a) Except as provided in paragraph (b), a person who
  260  willfully violates any provision of this section commits a
  261  misdemeanor of the first degree, punishable as provided in s.
  262  775.082 or s. 775.083.
  263         (b) A person who willfully violates any provision of this
  264  section, if the violation involves:
  265         1. Currency, monetary value, payment instruments, or
  266  virtual currency, or payment stablecoins of a value exceeding
  267  $300 but less than $20,000 in any 12-month period, commits a
  268  felony of the third degree, punishable as provided in s.
  269  775.082, s. 775.083, or s. 775.084.
  270         2. Currency, monetary value, payment instruments, or
  271  virtual currency, or payment stablecoins of a value totaling or
  272  exceeding $20,000 but less than $100,000 in any 12-month period,
  273  commits a felony of the second degree, punishable as provided in
  274  s. 775.082, s. 775.083, or s. 775.084.
  275         3. Currency, monetary value, payment instruments, or
  276  virtual currency, or payment stablecoins of a value totaling or
  277  exceeding $100,000 in any 12-month period, commits a felony of
  278  the first degree, punishable as provided in s. 775.082, s.
  279  775.083, or s. 775.084.
  280         (c) In addition to the penalties authorized by s. 775.082,
  281  s. 775.083, or s. 775.084, a person who has been convicted of,
  282  or entered a plea of guilty or nolo contendere, regardless of
  283  adjudication, to having violated paragraph (b) may be sentenced
  284  to pay a fine of up to the greater of $250,000 or twice the
  285  value of the currency, monetary value, payment instruments, or
  286  virtual currency, or payment stablecoins, except that on a
  287  second or subsequent conviction for or plea of guilty or nolo
  288  contendere, regardless of adjudication, to a violation of
  289  paragraph (b), the fine may be up to the greater of $500,000 or
  290  quintuple the value of the currency, monetary value, payment
  291  instruments, or virtual currency, or payment stablecoins.
  292         (d) A person who violates this section is also liable for a
  293  civil penalty of up to the greater of the value of the currency,
  294  monetary value, payment instruments, or virtual currency, or
  295  payment stablecoins involved or $25,000.
  296         (9) A qualified payment stablecoin issuer must comply with
  297  any anti-money laundering provisions in the GENIUS Act under
  298  Pub. L. No. 119-27, which includes, but is not limited to,
  299  provisions relating to economic sanctions, prevention of money
  300  laundering, customer identification, and due diligence in the
  301  Bank Secrecy Act, s. 21 of the Federal Deposit Insurance Act, 12
  302  U.S.C. s. 1813, chapter 2 of Title I of Pub. L. No. 91-508, and
  303  subchapter II of chapter 53 of Title 31, United States Code, and
  304  any other applicable federal anti-money laundering provisions.
  305         (a) Not later than 180 days after the approval of an
  306  application for a license as a qualified payment stablecoin
  307  issuer pursuant to this chapter, and on an annual basis
  308  thereafter, each qualified payment stablecoin issuer shall
  309  submit to the office a certification that the issuer has
  310  implemented anti-money laundering and economic sanctions
  311  compliance programs that are reasonably designed to prevent the
  312  qualified payment stablecoin issuer from facilitating money
  313  laundering, in particular, facilitating money laundering for
  314  cartels and organizations designated as foreign terrorist
  315  organizations under s. 219 of the Immigration and Nationality
  316  Act, 8 U.S.C. s. 1189, and the financing of terrorist
  317  activities, consistent with the requirements of the act.
  318         (b) The office shall make the certifications described in
  319  paragraph (a) available to the Secretary of the Treasury upon
  320  request.
  321         (c) The office may revoke the license of the qualified
  322  payment stablecoin issuer if such issuer does not submit the
  323  certification required under paragraph (a).
  324         (d)If the office has reason to believe that any person has
  325  knowingly violated paragraph (a), which may be subject to
  326  federal criminal penalties set forth under 18 U.S.C. s. 1001,
  327  the office may refer the matter to the United States Attorney
  328  General or the attorney general of this state.
  329         Section 3. Effective October 1, 2026, paragraph (a) of
  330  subsection (5) and subsection (6) of section 560.125, Florida
  331  Statutes, are amended to read:
  332         560.125 Unlicensed activity; penalties.—
  333         (5) A person who violates this section, if the violation
  334  involves:
  335         (a) Currency, monetary value, payment instruments, or
  336  virtual currency, or payment stablecoins of a value exceeding
  337  $300 but less than $20,000 in any 12-month period, commits a
  338  felony of the third degree, punishable as provided in s.
  339  775.082, s. 775.083, or s. 775.084.
  340         (6) In addition to the penalties authorized by s. 775.082,
  341  s. 775.083, or s. 775.084, a person who has been convicted of,
  342  or entered a plea of guilty or nolo contendere to, having
  343  violated this section may be sentenced to pay a fine of up to
  344  the greater of $250,000 or twice the value of the currency,
  345  monetary value, payment instruments, or virtual currency, or
  346  payment stablecoins, except that on a second or subsequent
  347  violation of this section the fine may be up to the greater of
  348  $500,000 or quintuple the value of the currency, monetary value,
  349  payment instruments, or virtual currency.
  350         Section 4. Part V of chapter 560, Florida Statutes,
  351  consisting of ss. 560.501-560.506, Florida Statutes, is created
  352  and entitled “Payment Stablecoin Issuers.”
  353         Section 5. Effective October 1, 2026, section 560.501,
  354  Florida Statutes, is created to read:
  355         560.501License requirement; exemptions; transition to
  356  federal oversight; definitions.—
  357         (1) DEFINITIONS.—For purposes of this section, the term:
  358         (a) “Home state” means a state other than this state in
  359  which a payment stablecoin issuer is established or has its
  360  principal place of business.
  361         (b)“Host state” means a state in which the payment
  362  stablecoin issuer establishes a branch, solicits customers, or
  363  otherwise engages in business activities, other than the home
  364  state.
  365         (c)“Out-of-state state-qualified payment stablecoin
  366  issuer” means a payment stablecoin issuer that has been approved
  367  in accordance with the requirements of the GENIUS Act by the
  368  payment stablecoin issuer’s home state, other than this state,
  369  to issue payment stablecoin.
  370         (2)LICENSE REQUIREMENT.—Effective October 1, 2026, a
  371  person may not engage in the activity of a qualified payment
  372  stablecoin issuer in this state unless the person is licensed or
  373  exempted from licensure under this chapter. The office shall
  374  give written notice to each applicant that the office has
  375  granted or denied the application for a license as a qualified
  376  payment stablecoin issuer.
  377         (3)EXEMPTION FROM LICENSURE.—
  378         (a)Subsection (2) does not apply to:
  379         1.A federal-qualified payment stablecoin issuer.
  380         2.An out-of-state state-qualified payment stablecoin
  381  issuer of which this state is a host state. An out-of-state
  382  state-qualified payment stablecoin issuer must provide written
  383  notice to the office within 30 days after engaging in activity
  384  that makes this state a host state of such issuer.
  385         (b) The following transactions are not regulated under this
  386  part:
  387         1. The direct transfer of payment stablecoins between two
  388  individuals acting on their own behalf and for their own lawful
  389  purposes, without the involvement of an intermediary.
  390         2. Any transaction involving the receipt of payment
  391  stablecoins by an individual between an account owned by the
  392  individual in the United States and an account owned by the
  393  individual abroad which are offered by the same parent company.
  394         3. Any transaction by means of a software or hardware
  395  wallet that facilitates an individual’s own custody of payment
  396  stablecoins.
  397         (c) A payment stablecoin that meets the requirements of
  398  this part is not a security and is not subject to chapter 517.
  399         (4) TRANSITION TO FEDERAL OVERSIGHT.—
  400         (a)Unless a federal waiver is obtained, a qualified
  401  payment stablecoin issuer with a consolidated total outstanding
  402  payment stablecoin issuance that reaches the $10 billion
  403  threshold must comply with one of the following requirements:
  404         1.Not later than 360 days after the payment stablecoin
  405  issuance reaches such threshold, transition to the applicable
  406  federal regulatory framework administered jointly by the office
  407  and the United States Office of the Comptroller of the Currency;
  408  or
  409         2.Beginning on the date the payment stablecoin issuance
  410  reaches such threshold, cease issuing new payment stablecoins
  411  until the payment stablecoin falls below the $10 billion
  412  consolidated total outstanding issuance threshold.
  413         (b) A qualified payment stablecoin issuer with a
  414  consolidated total outstanding payment stablecoin issuance that
  415  reaches the $10 billion threshold must, within 7 business days,
  416  provide notice to the office that the threshold has been
  417  reached.
  418         (c)To the extent or for any relevant period for which a
  419  waiver or transition applies, a qualified payment stablecoin
  420  issuer remains subject to this part if a federal waiver of the
  421  transition requirements in paragraph (a) is obtained pursuant to
  422  the GENIUS Act, Pub. L. No. 119-27, and the office remains
  423  solely responsible for supervising the qualified payment
  424  stablecoin issuer, or if the office is jointly responsible with
  425  the United States Office of the Comptroller of the Currency to
  426  supervise the qualified payment stablecoin issuer pursuant to
  427  subparagraph (a)1. The office may enter into an agreement with
  428  the relevant primary federal payment stablecoin regulator for
  429  the joint supervision of any qualified payment stablecoin
  430  issuer.
  431         Section 6. Section 560.502, Florida Statutes, is created to
  432  read:
  433         560.502Additional license application requirements; office
  434  duties; application forms.—
  435         (1) ADDITIONAL LICENSE APPLICATION REQUIREMENTS.—In
  436  addition to the license requirements under part I of this
  437  chapter, an applicant seeking a license under this part must
  438  also submit to the office an application on a form prescribed by
  439  rule of the commission. Such application must include all of the
  440  following:
  441         (a) Evidence of the ability of the applicant, based on
  442  financial condition and resources, to meet the requirements in
  443  s. 560.504.
  444         (b) A statement as to whether an individual who has been
  445  convicted of a felony offense involving insider trading,
  446  embezzlement, cybercrime, money laundering, financing terrorism,
  447  or financial fraud is serving as an officer or director of the
  448  applicant.
  449         (c) An explanation of the competence, experience, and
  450  integrity of the officers, directors, and principal shareholders
  451  of the applicant, its subsidiaries, and parent company which
  452  includes, but is not limited to:
  453         1. The record of those officers, directors, and principal
  454  shareholders of compliance with laws and regulations; and
  455         2. The ability of those officers, directors, and principal
  456  shareholders to fulfill any commitments to, and any conditions
  457  imposed by, the office in connection with the application at
  458  issue and any prior applications.
  459         (d) A statement as to whether the redemption policy of the
  460  applicant meets the standards under s. 560.504.
  461         (e) Any other factors necessary to ensure the safety and
  462  soundness of the qualified payment stablecoin issuer.
  463         (2) OFFICE DUTIES.—The office shall comply with the
  464  following requirements:
  465         (a) Upon receipt of a substantially complete application,
  466  evaluate and make a determination on each application based on
  467  the criteria established in this section.
  468         (b) Not later than 120 days after receiving a substantially
  469  complete application, render a decision on the application.
  470         1. An application is considered substantially complete if
  471  the application contains sufficient information for the office
  472  to render a decision on whether the applicant satisfies the
  473  factors described in paragraph (1)(a).
  474         2. Not later than 30 days after receiving an application
  475  under this section, the office shall notify the applicant as to
  476  whether the office considers the application to be substantially
  477  complete and, if the application is not substantially complete,
  478  the additional information the applicant must provide in order
  479  for the application to be considered substantially complete.
  480         3. An application considered substantially complete under
  481  this subparagraph remains substantially complete unless there is
  482  a material change in circumstances that requires the office to
  483  treat the application as a new application.
  484         4. If the office fails to render a decision on a complete
  485  application within the time specified in paragraph (2)(b), the
  486  application is deemed approved.
  487         (c) Deny a substantially complete application received
  488  pursuant to this subsection only if the office determines that
  489  the activities of the applicant would be unsafe or unsound based
  490  on the factors described in paragraph (1)(a).
  491         1. The issuance of a payment stablecoin on an open, public,
  492  or decentralized network is not a valid ground for denial of an
  493  application for approval as a qualified payment stablecoin
  494  issuer.
  495         2. If the office denies a complete application submitted
  496  pursuant to this subsection, not later than 30 days after the
  497  date of such denial, the office must provide the applicant with
  498  written notice explaining the denial with specificity, including
  499  all findings made by the regulator with respect to all
  500  identified material shortcomings in the application, along with
  501  actionable recommendations on how the applicant could address
  502  the identified material shortcomings.
  503         3. Denial of an application under this section does not
  504  prohibit the applicant from filing a subsequent application.
  505         4. A denial entitles the applicant to an opportunity to be
  506  heard pursuant to chapter 120.
  507         (d) Pay fingerprint retention fees that are charged for the
  508  retention of any fingerprints that are required for each control
  509  person of the applicant to obtain a license as a qualified
  510  payment stablecoin issuer in accordance with this chapter.
  511         (3)APPLICATION FORMS.—The information required in the
  512  application form prescribed by rule of the commission under
  513  subsection (1) may be incorporated in other licensing
  514  application forms required under this chapter, as appropriate,
  515  to allow a person to apply for two licenses in one application
  516  form in order to streamline the application process.
  517         Section 7. Effective October 1, 2026, section 560.503,
  518  Florida Statutes, is created to read:
  519         560.503 Limitation on payment stablecoin activities.—A
  520  licensed qualified payment stablecoin issuer may engage only in
  521  the following activities:
  522         (1) Issue payment stablecoins.
  523         (2) Redeem payment stablecoins.
  524         (3) Manage related reserves, including purchasing, selling,
  525  and holding reserve assets or providing custodial services for
  526  reserve assets, consistent with federal law and the laws of this
  527  state.
  528         (4) Undertake other activities that directly support any of
  529  the activities described in this section.
  530         Section 8. Effective October 1, 2026, section 560.504,
  531  Florida Statutes, is created to read:
  532         560.504Minimum prudential requirements.—
  533         (1) In accordance with the GENIUS Act, Pub. L. No. 119-27,
  534  a qualified payment stablecoin issuer must comply with all of
  535  the following requirements:
  536         (a) Maintain identifiable reserves backing the outstanding
  537  payment stablecoins of the qualified payment stablecoin issuer
  538  on at least a one-to-one basis, with reserves consisting of any
  539  of the following:
  540         1. United States coin or currency or money standing to the
  541  credit of an account with a Federal Reserve Bank.
  542         2. Funds held as demand deposits or insured shares at an
  543  insured depository institution, subject to limitations
  544  established by the Federal Deposit Insurance Corporation and the
  545  National Credit Union Administration.
  546         3. United States Treasury bills, notes, or bonds with a
  547  remaining maturity or issued with a maturity of 93 days or less.
  548         4. Money received under repurchase agreements, with the
  549  qualified payment stablecoin issuer acting as a seller of
  550  securities and with an overnight maturity, which are backed by
  551  United States Treasury bills with a maturity of 93 days or less.
  552         5. Reverse purchase agreements, with the qualified payment
  553  stablecoin issuer acting as a purchaser of securities and with
  554  an overnight maturity, that are collateralized by United States
  555  Treasury bills, notes, or bonds on an overnight basis, subject
  556  to overcollateralization in line with standard market terms that
  557  meet federal requirements in the GENIUS Act, Pub. L. No. 119-27.
  558         6. Securities issued by an investment company registered
  559  under s. 8(a) of the Investment Company Act of 1940, 15 U.S.C.
  560  s. 80a-8(a), or other registered government money market fund,
  561  and that are invested solely in underlying assets described in
  562  subparagraphs 1.-5.
  563         7. Any other similarly liquid Federal Government-issued
  564  asset approved by the primary federal payment stablecoin
  565  regulator, in consultation with the office.
  566         8. Any reserve described in subparagraphs 1., 2., and 3. or
  567  subparagraph 6. or subparagraph 7. in tokenized form, provided
  568  that such reserves comply with all applicable laws and
  569  regulations.
  570         (b)Publicly disclose the issuer’s redemption policy, which
  571  must comply with all of the following requirements:
  572         1. Establish clear and conspicuous procedures for timely
  573  redemption of outstanding payment stablecoins.
  574         2.Publicly, clearly, and conspicuously disclose in plain
  575  language all fees associated with purchasing or redeeming the
  576  payment stablecoins, provided that such fees can be changed only
  577  upon not less than 7 days’ prior notice to consumers.
  578         (c) Publish on the issuer’s website a monthly reserve
  579  composition of the issuer’s reserve which must contain all of
  580  the following information:
  581         1. The total number of outstanding payment stablecoins
  582  issued by the issuer.
  583         2. The amount and composition of the reserves described in
  584  paragraph (a), including the average tenor and geographic
  585  location of custody of each category of reserve instruments.
  586         (d)Comply with all federal prohibitions on pledging,
  587  rehypothecating, or reusing reserve assets, either directly or
  588  indirectly, except for any of the following purposes:
  589         1. Satisfying margin obligations in connection with
  590  investments in permitted reserves under subparagraph (a)4. or
  591  subparagraph (a)5.
  592         2. Satisfying obligations associated with the use, receipt,
  593  or provision of standard custodial services.
  594         3.Creating liquidity to meet reasonable expectations of
  595  requests to redeem payment stablecoins, such that reserves in
  596  the form of United States Treasury bills may be sold as
  597  purchased securities for repurchase agreements with a maturity
  598  of 93 days or less, provided that either:
  599         a. The repurchase agreements are cleared by a clearing
  600  agency registered with the Securities and Exchange Commission;
  601  or
  602         b. The qualified payment stablecoin issuer receives prior
  603  approval from the office.
  604         (e)Engage a registered public accounting firm to conduct a
  605  monthly examination of the previous month-end reserve report.
  606  For purposes of this paragraph, the term “registered public
  607  accounting firm” means a public accounting firm registered with
  608  the Public Company Accounting Oversight Board.
  609         (f) Submit to the office each month a certification as to
  610  the accuracy of the month-end reserve report by the qualified
  611  payment stablecoin issuer’s chief executive officer and chief
  612  financial officer. Whoever knowingly makes a false statement in
  613  writing with the intent to mislead a public servant in the
  614  performance of his or her official duty commits a misdemeanor of
  615  the second degree, punishable as provided in s. 775.082 or s.
  616  775.083.
  617         (g) A qualified payment stablecoin issuer with more than
  618  $50 billion in consolidated total outstanding issuance shall
  619  prepare, in accordance with generally accepted accounting
  620  principles, an annual financial statement, which must include
  621  disclosure of any related party transactions, as defined by such
  622  generally accepted accounting principles.
  623         1. A registered public accounting firm must perform an
  624  audit of the annual financial statements.
  625         2. Each qualified payment stablecoin issuer required to
  626  prepare an audited annual financial statement must comply with
  627  all of the following requirements:
  628         a. Make such audited financial statements publicly
  629  available on the website of the permitted payment stablecoin
  630  issuer; and
  631         b. Submit such audited financial statements annually to the
  632  office.
  633         (h) Comply with any federal regulations or rules prescribed
  634  by commission relating to capital, liquidity, and risk
  635  management requirements.
  636         (i)Engage only custodians or safekeepers that comply with
  637  s. 10 of the GENIUS Act, Pub. L. No. 119-27.
  638         (j)Comply with any other federal requirements of s. 4(a)
  639  of the GENIUS Act, Pub. L. No. 119-27, and any implementing
  640  federal regulations.
  641         (2) A qualified payment stablecoin issuer is prohibited
  642  from engaging in all of the following conduct:
  643         (a)Except as may be authorized under federal law, tying
  644  arrangements that condition access to stablecoin services on the
  645  purchase of unrelated products or services from such qualified
  646  payment stablecoin issuer or an agreement not to obtain products
  647  or services from a competitor.
  648         (b) Using deceptive names, which includes, but is not
  649  limited to, any of the following:
  650         1. Using any combination of terms relating to the United
  651  States Government, except abbreviations directly related to the
  652  currency to which a payment stablecoin is pegged, such as “USD.”
  653         2. Marketing a payment stablecoin in such a way that a
  654  reasonable person would perceive the payment stablecoin to be
  655  legal tender, as described in 31 U.S.C. s. 5103, issued by the
  656  United States, or guaranteed or approved by the United States
  657  Government.
  658         (c)Paying the holder of any payment stablecoin any form of
  659  interest or yield solely in connection with holding, use, or
  660  retention of such payment stablecoin if such payment is
  661  prohibited under federal law.
  662         Section 9. Section 560.505, Florida Statutes, is created to
  663  read:
  664         560.505State certification.—
  665         (1)The office shall submit an initial certification to the
  666  federal Stablecoin Certification Review Committee, on a form
  667  prescribed by the committee, in accordance with the timeline
  668  established by the committee for accepting certifications,
  669  attesting that the state regulatory regime meets the criteria
  670  for substantial similarity to the GENIUS Act, Pub. L. No. 119
  671  27, as required under that act.
  672         (2)No later than the date to be determined by the United
  673  States Secretary of the Treasury each year, the office must
  674  submit to the Stablecoin Certification Review Committee an
  675  additional certification that confirms the accuracy of the
  676  initial certification submitted.
  677         (3) The office must comply with the requirements of s.
  678  4(c)(4) of the GENIUS Act, Pub. L. No. 119-27, to ensure the
  679  state receives certification and annual recertification by the
  680  Stablecoin Certification Review Committee of the state
  681  regulatory regime.
  682         Section 10. Section 560.506, Florida Statutes, is created
  683  to read:
  684         560.506Rulemaking authority.—The commission shall adopt
  685  rules to administer this part as required in s. 13 of the GENIUS
  686  Act, Pub. L. No. 119-27. The commission shall also adopt rules
  687  relating to capital, liquidity, and risk management which are
  688  consistent with section 4(a)(4) of the GENIUS Act, Pub. L. No.
  689  119-27. The commission may adopt rules establishing standards
  690  for the conduct, supervision, examination, and regulation of
  691  qualified payment stablecoin issuers, including requirements
  692  relating to reserves, customer-asset protection, reporting, and
  693  compliance, in order to meet the minimum requirements
  694  established by the Stablecoin Certification Review Committee.
  695         Section 11. Subsection (12) is added to section 655.50,
  696  Florida Statutes, and paragraph (e) of subsection (3) of that
  697  section is amended, to read:
  698         655.50 Florida Control of Money Laundering and Terrorist
  699  Financing in Financial Institutions Act.—
  700         (3) As used in this section, the term:
  701         (e) “Monetary instruments” means coin or currency of the
  702  United States or of any other country, payment stablecoins as
  703  defined in s. 658.997, travelers’ checks, personal checks, bank
  704  checks, money orders, stored value cards, prepaid cards,
  705  investment securities or negotiable instruments in bearer form
  706  or otherwise in such form that title thereto passes upon
  707  delivery, or similar devices.
  708         (12) A qualified payment stablecoin issuer, as defined in
  709  s. 658.997, must comply with any anti-money laundering
  710  provisions in the GENIUS Act under Pub. L. No. 119-27, which
  711  includes, but is not limited to, provisions relating to economic
  712  sanctions, prevention of money laundering, customer
  713  identification, and due diligence in the Bank Secrecy Act, s. 21
  714  of the Federal Deposit Insurance Act, 12 U.S.C. s. 1813, chapter
  715  2 of Title I of Pub. L. No. 91-508, and subchapter II of chapter
  716  53 of Title 31, United States Code, and any other applicable
  717  federal anti-money laundering provisions.
  718         (a) Not later than 180 days after the approval of an
  719  application for certificate of approval as a qualified payment
  720  stablecoin issuer pursuant to s. 658.997, and on an annual basis
  721  thereafter, each qualified payment stablecoin issuer shall
  722  submit to the office a certification that the issuer has
  723  implemented anti-money laundering and economic sanctions
  724  compliance programs that are reasonably designed to prevent the
  725  qualified payment stablecoin issuer from facilitating money
  726  laundering, in particular, facilitating money laundering for
  727  cartels and organizations designated as foreign terrorist
  728  organizations under s. 219 of the Immigration and Nationality
  729  Act, 8 U.S.C. s. 1189, and the financing of terrorist
  730  activities, consistent with the requirements of the act.
  731         (b) The office shall make the certifications described in
  732  paragraph (a) available to the Secretary of the Treasury upon
  733  request.
  734         (c) The office may revoke the certificate of approval of
  735  the qualified payment stablecoin issuer if the qualified payment
  736  stablecoin issuer does not submit the certification required
  737  under paragraph (a).
  738         (d)If the office has reason to believe that any person has
  739  knowingly violated paragraph (a), which may be subject to
  740  federal criminal penalties set forth under 18 U.S.C. s. 1001,
  741  the office may refer the matter to the United States Attorney
  742  General or the Attorney General of this state.
  743         Section 12. Paragraph (h) is added to subsection (1) of
  744  section 658.19, Florida Statutes, to read:
  745         658.19 Application for authority to organize a bank or
  746  trust company.—
  747         (1) A written application for authority to organize a
  748  banking corporation or a trust company shall be filed with the
  749  office by the proposed directors and shall include:
  750         (h) A request for a certificate of approval as a qualified
  751  payment stablecoin issuer, as defined in s. 658.997, if desired
  752  in connection with an application to organize a trust company.
  753         Section 13. Section 658.997, Florida Statutes, is created
  754  to read:
  755         658.997 Qualified payment stablecoin issuers.—
  756         (1) DEFINITIONS.—As used in this section, the term:
  757         (a)“Federal-qualified payment stablecoin issuer” means any
  758  of the following:
  759         1. A nonbank entity, other than a state-qualified payment
  760  stablecoin issuer, approved by the Office of the Comptroller of
  761  the Currency to issue payment stablecoins.
  762         2. An uninsured national bank that is chartered by the
  763  Office of the Comptroller of the Currency pursuant to title LXII
  764  of the Revised Statutes and is approved to issue payment
  765  stablecoins. As used in this subsection, the term “national
  766  bank” has the same meaning as in the GENIUS Act, Pub. L. No.
  767  119-27.
  768         3. A federal branch that is approved by the Office of the
  769  Comptroller of the Currency to issue payment stablecoins. For
  770  purposes of this subparagraph, the term “federal branch” has the
  771  same meaning as in section 3 of the Federal Deposit Insurance
  772  Act, 12 U.S.C. s. 1813.
  773         (b)“Home state” means a state other than this state in
  774  which a payment stablecoin issuer is established or has its
  775  principal place of business.
  776         (c)“Host state” means a state in which the payment
  777  stablecoin issuer establishes a branch, solicits customers, or
  778  otherwise engages in business activities, other than the home
  779  state.
  780         (d)“Out-of-state state-qualified payment stablecoin
  781  issuer” means a payment stablecoin issuer that has been approved
  782  in accordance with the requirements of the GENIUS Act, Pub. L.
  783  No. 119-27, by the payment stablecoin issuer’s home state, other
  784  than this state, to issue payment stablecoin.
  785         (e) “Payment stablecoin” means a digital asset that meets
  786  all of the following requirements:
  787         1.a.Is, or is designed to be, used as a means of payment
  788  or settlement; and
  789         b. The issuer of which:
  790         (I) Is obligated to convert, redeem, or repurchase the
  791  digital asset for a fixed amount of monetary value, not
  792  including a digital asset denominated in a fixed amount of
  793  monetary value.
  794         (II) Represents that such issuer will maintain, or create
  795  the reasonable expectation that it will maintain, a stable value
  796  relative to the value of a fixed amount of monetary value.
  797         2.The term does not include a digital asset that is any of
  798  the following:
  799         a. A national currency. For purposes of this subparagraph,
  800  the term “national currency” means each of the following:
  801         (I) A Federal Reserve note as the term is used in the first
  802  undesignated paragraph of s. 16 of the Federal Reserve Act, 12
  803  U.S.C. s. 411.
  804         (II) Money standing to the credit of an account with a
  805  Federal Reserve Bank.
  806         (III) Money issued by a foreign central bank.
  807         (IV) Money issued by an intergovernmental organization
  808  pursuant to an agreement by two or more governments.
  809         b. A deposit as defined in s. 3 of the Federal Deposit
  810  Insurance Act, 12 U.S.C. s. 1813, including a deposit recorded
  811  using distributed ledger technology. For purposes of this
  812  subparagraph, the term “distributed ledger” means technology in
  813  which data is shared across a network that creates a public
  814  digital ledger of verified transactions or information among
  815  network participants and cryptography is used to link the data
  816  to maintain the integrity of the public ledger and execute other
  817  functions.
  818         c. A security, as defined in s. 517.021, s. 2 of the
  819  Securities Act of 1933, 15 U.S.C. s. 77b, s. 3 of the Securities
  820  and Exchange Act of 1934, 15 U.S.C. s. 78c, or s. 2 of the
  821  Investment Company Act of 1940, 15 U.S.C. s. 80a-2.
  822         3.As used in this paragraph, the term “digital asset”
  823  means any digital representation of value that is recorded on a
  824  cryptographically secured digital ledger.
  825         (f) “Qualified payment stablecoin issuer” means an entity
  826  that:
  827         1. Is legally established under the laws of a state and
  828  approved to issue payment stablecoins by the office; and
  829         2.Is not an uninsured national bank chartered by the
  830  Comptroller pursuant to title LXII of the Revised Statutes, a
  831  federal branch, an insured depository institution, or a
  832  subsidiary of such national bank, federal branch, or insured
  833  depository institution. The terms “national bank” and “federal
  834  branch” have the same meaning as in subsection (17). The term
  835  “insured depository institution” has the same meaning as defined
  836  in s. 3 of the Federal Deposit Insurance Act, 12 U.S.C. s. 1813,
  837  and an insured credit union.
  838         (2)APPROVAL REQUIREMENT.—Effective October 1, 2026, a
  839  trust company may not engage in the activity of a qualified
  840  payment stablecoin issuer in this state unless the trust company
  841  obtains a certificate of approval or is exempted from such
  842  certificate under this section.
  843         (a) To obtain a certificate of approval as a qualified
  844  payment stablecoin issuer pursuant to this chapter, a trust
  845  company must request such certificate in conjunction with an
  846  application to organize a trust company pursuant to s. 658.19 or
  847  apply for a certificate of approval as a qualified payment
  848  stablecoin issuer on forms prescribed by rule of the commission
  849  that meet the requirements of this section. The application must
  850  require only information, documents, or materials that are
  851  necessary to determine whether the applicant meets the criteria
  852  provided in this section.
  853         (b) With respect to any application for a certificate of
  854  approval as a qualified payment stablecoin issuer pursuant to
  855  this section, the office must comply with the following
  856  requirements:
  857         1. Upon receipt of a substantially complete application,
  858  evaluate and make a determination on each application based on
  859  the criteria established in this section, including all of the
  860  following factors:
  861         a. The ability of the applicant, based on financial
  862  condition and resources, to meet the requirements in subsection
  863  (6).
  864         b. Whether an individual who has been convicted of a felony
  865  offense involving insider trading, embezzlement, cybercrime,
  866  money laundering, financing terrorism, or financial fraud is
  867  serving as an officer or director of the applicant.
  868         c. The competence, experience, and integrity of the
  869  officers, directors, and principal shareholders of the
  870  applicant, its subsidiaries, and parent company which includes,
  871  but is not limited to:
  872         (I) The record of those officers, directors, and principal
  873  shareholders of compliance with laws and regulations; and
  874         (II) The ability of those officers, directors, and
  875  principal shareholders to fulfill any commitments to, and any
  876  conditions imposed by, the office in connection with the
  877  application at issue and any prior applications.
  878         d. Whether the redemption policy of the applicant meets the
  879  standards under subsection (6).
  880         e. Any other factors necessary to ensure the safety and
  881  soundness of the qualified payment stablecoin issuer.
  882         2. Not later than 120 days after receiving a substantially
  883  complete application, render a decision on the application.
  884         a. An application is considered substantially complete if
  885  the application contains sufficient information for the office
  886  to render a decision on whether the applicant satisfies the
  887  factors described in this subparagraph.
  888         b. Not later than 30 days after receiving an application
  889  under this section, the office must notify the applicant as to
  890  whether the office considers the application to be substantially
  891  complete and, if the application is not substantially complete,
  892  the additional information the applicant must provide in order
  893  for the application to be considered substantially complete.
  894         c. An application considered substantially complete under
  895  this subparagraph remains substantially complete unless there is
  896  a material change in circumstances that requires the office to
  897  treat the application as a new application.
  898         3.If the applicant is approved as a qualified payment
  899  stablecoin issuer, issue a certificate of approval to the
  900  applicant. A certificate of approval remains valid unless or
  901  until the office revokes such certificate pursuant to the
  902  provisions of this chapter.
  903         4. Deny a substantially complete application received
  904  pursuant to this subsection only if the office determines that
  905  the activities of the applicant would be unsafe or unsound based
  906  on the factors described in subparagraph 1.
  907         a. The issuance of a payment stablecoin on an open, public,
  908  or decentralized network is not a valid ground for denial of an
  909  application for approval as a qualified payment stablecoin
  910  issuer.
  911         b. If the office denies a complete application submitted
  912  pursuant to this subsection, not later than 30 days after the
  913  date of such denial, the office must provide the applicant with
  914  written notice explaining the denial with specificity, including
  915  all findings made by the regulator with respect to all
  916  identified material shortcomings in the application, along with
  917  actionable recommendations on how the applicant could address
  918  the identified material shortcomings.
  919         c. A denial entitles the applicant to an opportunity to be
  920  heard pursuant to chapter 120.
  921         5. Modify any current forms or rules relating to an
  922  application to organize a trust company pursuant to s. 658.19 to
  923  conform them to the standards and requirements of this section.
  924  Any information or documents that are required for the office to
  925  determine whether an applicant meets the requirements of this
  926  section must be incorporated into an application to organize a
  927  trust company so that an applicant may elect, but is not
  928  required, to submit such information and documents to apply for
  929  a certificate of approval as a qualified payment stablecoin
  930  issuer as part of the organization process.
  931         (c) If the office fails to render a decision on a complete
  932  application within the time specified in subparagraph (b)2., the
  933  application is deemed approved.
  934         (d) Denial of an application under this section may not
  935  prohibit the applicant from filing a subsequent application.
  936         (e)Failure to comply with any provision of this section or
  937  with any rule or order of the office is considered good cause
  938  for revocation of a certificate of approval issued pursuant to
  939  subparagraph (b)3. The office shall give prior written notice to
  940  the qualified payment stablecoin issuer of such withdrawal
  941  within a time prescribed by rule.
  942         (3) EXEMPTIONS.—Effective October 1, 2026, subsection (2)
  943  does not apply to:
  944         (a) A federal-qualified payment stablecoin issuer.
  945         (b) An out-of-state state-qualified payment stablecoin
  946  issuer. The out-of-state state-qualified payment stablecoin
  947  issuer must provide written notice to the office within 30 days
  948  after engaging in the activity of a qualified payment stablecoin
  949  issuer in this state.
  950         (c) The following transactions are not regulated under this
  951  part:
  952         1. The direct transfer of payment stablecoin between two
  953  individuals acting on their own behalf and for their own lawful
  954  purposes, without the involvement of an intermediary.
  955         2. Any transaction involving the receipt of payment
  956  stablecoin by an individual between an account owned by the
  957  individual in the United States and an account owned by the
  958  individual abroad which are offered by the same parent company.
  959         3. Any transaction by means of a software or hardware
  960  wallet that facilitates an individual’s own custody of payment
  961  stablecoins.
  962         (d)A payment stablecoin that meets the requirements of
  963  this part is not a security and is not subject to the
  964  requirements of chapter 517.
  965         (4)TRANSITION TO FEDERAL OVERSIGHT.—Effective October 1,
  966  2026:
  967         (a)Unless a federal waiver is obtained, a qualified
  968  payment stablecoin issuer with a consolidated total outstanding
  969  payment stablecoin issuance that reaches the $10 billion
  970  threshold must comply with one of the following requirements:
  971         1.Not later than 360 days after the payment stablecoin
  972  issuance reaches such threshold, transition to the applicable
  973  federal regulatory framework administered jointly by the office
  974  and the appropriate federal regulator; or
  975         2.Beginning on the date the payment stablecoin issuance
  976  reaches such threshold, cease issuing new payment stablecoins
  977  until the payment stablecoin falls below the $10 billion
  978  consolidated total outstanding issuance threshold.
  979         (b) A qualified payment stablecoin issuer with a
  980  consolidated total outstanding payment stablecoin issuance that
  981  reaches the $10 billion threshold must, within 7 business days,
  982  provide notice to the office that the threshold has been
  983  reached.
  984         (c)To the extent or for any relevant period for which a
  985  waiver or transition applies, a qualified payment stablecoin
  986  issuer remains subject to this part if a federal waiver of the
  987  transition requirements in paragraph (a) is obtained pursuant to
  988  the GENIUS Act, Pub. L. No. 119-27, and the office remains
  989  solely responsible for supervising the qualified payment
  990  stablecoin issuer, or if the office is jointly responsible with
  991  the United States Office of the Comptroller of the Currency to
  992  supervise the qualified payment stablecoin issuer pursuant to
  993  subparagraph (a)1. The office may enter into an agreement with
  994  the relevant primary federal payment stablecoin regulator for
  995  the joint supervision of any qualified payment stablecoin
  996  issuer.
  997         (5)LIMITATION ON PAYMENT STABLECOIN ACTIVITIES.—Effective
  998  October 1, 2026, a qualified payment stablecoin issuer that has
  999  been issued a certificate of approval may engage only in the
 1000  following activities:
 1001         (a) Issue payment stablecoins.
 1002         (b) Redeem payment stablecoins.
 1003         (c) Manage related reserves, including purchasing, selling,
 1004  and holding reserve assets or providing custodial services for
 1005  reserve assets, consistent with federal law and the laws of this
 1006  state.
 1007         (d) Undertake other activities that directly support any of
 1008  the activities described in this section.
 1009         (6) MINIMUM PRUDENTIAL REQUIREMENTS.—Effective October 1,
 1010  2026:
 1011         (a) In accordance with the GENIUS Act, Pub. L. No. 119-27,
 1012  a qualified payment stablecoin issuer shall comply with all of
 1013  the following requirements:
 1014         1. Maintain identifiable reserves backing the outstanding
 1015  payment stablecoins of the qualified payment stablecoin issuer
 1016  on at least a one-to-one basis, with reserves consisting of any
 1017  of the following:
 1018         a. United States coin or currency or money standing to the
 1019  credit of an account with a Federal Reserve Bank.
 1020         b. Funds held as demand deposits or insured shares at an
 1021  insured depository institution, subject to limitations
 1022  established by the Federal Deposit Insurance Corporation and the
 1023  National Credit Union Administration.
 1024         c. United States Treasury bills, notes, or bonds with a
 1025  remaining maturity or issued with a maturity of 93 days or less.
 1026         d.Money received under repurchase agreements, with the
 1027  qualified payment stablecoin issuer acting as a seller of
 1028  securities and with an overnight maturity, that are backed by
 1029  United States Treasury bills with a maturity of 93 days or less.
 1030         e. Reverse purchase agreements, with the qualified payment
 1031  stablecoin issuer acting as a purchaser of securities and with
 1032  an overnight maturity, that are collateralized by United States
 1033  Treasury bills, notes, or bonds on an overnight basis, subject
 1034  to overcollateralization in line with standard market terms that
 1035  meet federal requirements in the GENIUS Act, Pub. L. No. 119-27.
 1036         f. Securities issued by an investment company registered
 1037  under s. 8(a) of the Investment Company Act of 1940, 15 U.S.C.
 1038  s. 80a-8(a), or other registered government money market fund,
 1039  and that are invested solely in underlying assets described in
 1040  subparagraphs a.-e.
 1041         g. Any other similarly liquid Federal Government-issued
 1042  asset approved by the primary federal payment stablecoin
 1043  regulator, in consultation with the office.
 1044         h. Any reserve described in subparagraphs 1., 2., and 3. or
 1045  sub-subparagraphs f. and g in tokenized form, provided that such
 1046  reserves comply with all applicable laws and regulations.
 1047         2.Publicly disclose the issuer’s redemption policy, which
 1048  must comply with all of the following requirements:
 1049         a. Establish clear and conspicuous procedures for timely
 1050  redemption of outstanding payment stablecoins.
 1051         b.Publicly, clearly, and conspicuously disclose in plain
 1052  language all fees associated with purchasing or redeeming the
 1053  payment stablecoins, provided that such fees can be changed only
 1054  upon not less than 7 days’ prior notice to consumers.
 1055         3. Publish on the issuer’s website a monthly reserve
 1056  composition of the issuer’s reserve which must contain all of
 1057  the following information:
 1058         a. The total number of outstanding payment stablecoins
 1059  issued by the issuer.
 1060         b. The amount and composition of the reserves described in
 1061  subparagraph 1., including the average tenor and geographic
 1062  location of custody of each category of reserve instruments.
 1063         4.Comply with all federal prohibitions on the pledging,
 1064  rehypothecating, or reusing reserve assets, either directly or
 1065  indirectly, except for any of the following purposes:
 1066         a. Satisfying margin obligations in connection with
 1067  investments in permitted reserves under sub-subparagraph 1.d. or
 1068  sub-subparagraph (a)1.e.
 1069         b. Satisfying obligations associated with the use, receipt,
 1070  or provision of standard custodial services.
 1071         c.Creating liquidity to meet reasonable expectations of
 1072  requests to redeem payment stablecoins, such that reserves in
 1073  the form of United States Treasury bills may be sold as
 1074  purchased securities for repurchase agreements with a maturity
 1075  of 93 days or less, provided that either:
 1076         (I) The repurchase agreements are cleared by a clearing
 1077  agency registered with the Securities and Exchange Commission;
 1078  or
 1079         (II) The qualified payment stablecoin issuer receives prior
 1080  approval from the office.
 1081         5. Engage a registered public accounting firm to conduct a
 1082  monthly examination of the previous month-end reserve report.
 1083  For purposes of this subparagraph, the term “registered public
 1084  accounting firm” means a public accounting firm registered with
 1085  the Public Company Accounting Oversight Board.
 1086         6. Submit to the office each month a certification as to
 1087  the accuracy of the month-end reserve report by the qualified
 1088  payment stablecoin issuer’s chief executive officer and chief
 1089  financial officer. Whoever knowingly makes a false statement in
 1090  writing with the intent to mislead a public servant in the
 1091  performance of his or her official duty commits a misdemeanor of
 1092  the second degree, punishable as provided in s. 775.082 or s.
 1093  775.083.
 1094         7. A qualified payment stablecoin issuer with more than $50
 1095  billion in consolidated total outstanding issuance shall
 1096  prepare, in accordance with generally accepted accounting
 1097  principles, an annual financial statement, which must include
 1098  disclosure of any related party transactions, as defined by such
 1099  generally accepted accounting principles.
 1100         a. A registered public accounting firm must perform an
 1101  audit of the annual financial statements.
 1102         b. Each qualified payment stablecoin issuer required to
 1103  prepare an audited annual financial statement must comply with
 1104  all of the following requirements:
 1105         (I) Make such audited financial statements publicly
 1106  available on the website of the permitted payment stablecoin
 1107  issuer; and
 1108         (II) Submit such audited financial statements annually to
 1109  the office.
 1110         8. Comply with any federal regulations or rules prescribed
 1111  by the commission relating to capital, liquidity, and risk
 1112  management requirements.
 1113         9.Engage only custodians or safekeepers that comply with
 1114  s. 10 of the GENIUS Act, Pub. L. No. 119-27.
 1115         10. Comply with any other federal requirements of s. 4(a)
 1116  of the GENIUS Act, Pub. L. No. 119-27, and any implementing
 1117  federal regulations.
 1118         (b) A qualified payment stablecoin issuer is prohibited
 1119  from engaging in all of the following conduct:
 1120         1.Except as may be authorized under federal law, tying
 1121  arrangements that condition access to stablecoin services on the
 1122  purchase of unrelated products or services from such qualified
 1123  payment stablecoin issuer or an agreement not to obtain products
 1124  or services from a competitor.
 1125         2. Using deceptive names, which includes, but is not
 1126  limited to, any of the following:
 1127         a. Using any combination of terms relating to the United
 1128  States Government, except abbreviations directly related to the
 1129  currency to which a payment stablecoin is pegged, such as “USD.”
 1130         b. Marketing a payment stablecoin in such a way that a
 1131  reasonable person would perceive the payment stablecoin to be
 1132  legal tender, as described in 31 U.S.C. s. 5103, issued by the
 1133  United States, or guaranteed or approved by the United States
 1134  Government.
 1135         3. Paying the holder of any payment stablecoin any form of
 1136  interest or yield solely in connection with holding, use, or
 1137  retention of such payment stablecoin if such payment is
 1138  prohibited under federal law.
 1139         (7) CERTIFICATION.—The office’s initial certification and
 1140  annual recertification submission to the federal Stablecoin
 1141  Certification Review Committee pursuant to s. 560.505 must
 1142  include any relevant information related to the provisions of
 1143  this chapter in the office’s request for certification or
 1144  recertification of the state regulatory regime of payment
 1145  stablecoins.
 1146         (8) RULEMAKING.—The commission may adopt rules to
 1147  administer this section as required in s. 13 of the GENIUS Act,
 1148  Pub. L. No. 119-27. The commission must also adopt rules
 1149  relating to capital, liquidity, and risk management which are
 1150  consistent with s. 4(a)(4) of the GENIUS Act, Pub. L. No. 119
 1151  27. The commission may adopt rules establishing standards for
 1152  the conduct, supervision, examination, and regulation of
 1153  qualified payment stablecoin issuers, including requirements
 1154  relating to reserves, customer-asset protection, reporting, and
 1155  compliance in order to meet the minimum requirements established
 1156  by the Stablecoin Certification Review Committee.
 1157         Section 14. Except as otherwise expressly provided in this
 1158  act, this act shall take effect upon becoming a law.