Florida Senate - 2026                        COMMITTEE AMENDMENT
       Bill No. SB 314
       
       
       
       
       
       
                                Ì6636088Î663608                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  02/04/2026           .                                
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       The Committee on Banking and Insurance (Burton) recommended the
       following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete everything after the enacting clause
    4  and insert:
    5         Section 1. Present subsections (33), (34), and (35) and
    6  (36) through (39) of section 560.103, Florida Statutes, as
    7  amended by chapter 2025-100, Laws of Florida, are redesignated
    8  as subsections (34), (35), and (36) and (38) through (41),
    9  respectively, new subsections (33) and (37) are added to that
   10  section, and subsection (25) of that section is amended, to
   11  read:
   12         560.103 Definitions.—As used in this chapter, the term:
   13         (25) “Money services business” means any person located in
   14  or doing business in this state, from this state, or into this
   15  state from locations outside this state or country who acts as a
   16  payment instrument seller, foreign currency exchanger, check
   17  casher, or money transmitter, or qualified payment stablecoin
   18  issuer.
   19         (33)“Payment stablecoin” means a digital asset that meets
   20  all of the following requirements:
   21         (a)1.Is, or is designed to be, used as a means of payment
   22  or settlement; and
   23         2. The issuer of which:
   24         a. Is obligated to convert, redeem, or repurchase the
   25  digital asset for a fixed amount of monetary value, not
   26  including a digital asset denominated in a fixed amount of
   27  monetary value.
   28         b. Represents that such issuer will maintain, or create the
   29  reasonable expectation that it will maintain, a stable value
   30  relative to the value of a fixed amount of monetary value.
   31         (b)The term does not include a digital asset that is any
   32  of the following:
   33         1. A national currency. For purposes of this subparagraph,
   34  the term “national currency” means each of the following:
   35         a. A Federal Reserve note as the term is used in the first
   36  undesignated paragraph of s. 16 of the Federal Reserve Act, 12
   37  U.S.C. s. 411.
   38         b. Money standing to the credit of an account with a
   39  Federal Reserve Bank.
   40         c. Money issued by a foreign central bank.
   41         d. Money issued by an intergovernmental organization
   42  pursuant to an agreement by two or more governments.
   43         2. A deposit as defined in s. 3 of the Federal Deposit
   44  Insurance Act, 12 U.S.C. s. 1813, including a deposit recorded
   45  using distributed ledger technology. For purposes of this
   46  subparagraph, the term “distributed ledger” means technology in
   47  which data is shared across a network that creates a public
   48  digital ledger of verified transactions or information among
   49  network participants and cryptography is used to link the data
   50  to maintain the integrity of the public ledger and execute other
   51  functions.
   52         3. A security, as defined in s. 517.021, s. 2 of the
   53  Securities Act of 1933, 15 U.S.C. s. 77b, s. 3 of the Securities
   54  and Exchange Act of 1934, 15 U.S.C. s. 78c, or s. 2 of the
   55  Investment Company Act of 1940, 15 U.S.C. s. 80a-2.
   56         (c)As used in this subsection, the term “digital asset”
   57  means any digital representation of value that is recorded on a
   58  cryptographically secured digital ledger.
   59         (37)“Qualified payment stablecoin issuer” means an entity
   60  legally established under the laws of a state and approved by
   61  the office to issue payment stablecoins.
   62         Section 2. Paragraph (w) of subsection (1) of section
   63  560.114, Florida Statutes, is amended to read:
   64         560.114 Disciplinary actions; penalties.—
   65         (1) The following actions by a money services business,
   66  authorized vendor, or affiliated party constitute grounds for
   67  the issuance of a cease and desist order; the issuance of a
   68  removal order; the denial, suspension, or revocation of a
   69  license; or taking any other action within the authority of the
   70  office pursuant to this chapter:
   71         (w) Engaging or advertising engagement in the business of a
   72  money services business or deferred presentment provider without
   73  a license or registration, unless exempted from licensure or
   74  registration.
   75         Section 3. Present subsection (9) of section 560.123,
   76  Florida Statutes, is redesignated as subsection (10), a new
   77  subsection (9) is added to that section, and subsections (2),
   78  (3), and (8) of that section are amended, to read:
   79         560.123 Florida Control of Money Laundering in Money
   80  Services Business Act.—
   81         (2) The purpose of this section is to require the
   82  maintenance of certain records of transactions involving
   83  currency, monetary value, payment instruments, or virtual
   84  currency, or payment stablecoins in order to deter the use of a
   85  money services business to conceal proceeds from criminal
   86  activity and to ensure the availability of such records for
   87  criminal, tax, or regulatory investigations or proceedings.
   88         (3) A money services business shall keep a record, as
   89  prescribed by the commission, of each financial transaction
   90  occurring in this state which it knows to involve currency,
   91  monetary value, a payment instrument, or virtual currency, or a
   92  payment stablecoin having a value greater than $10,000; to
   93  involve the proceeds of specified unlawful activity; or to be
   94  designed to evade the reporting requirements of this section or
   95  chapter 896. The money services business must maintain
   96  appropriate procedures to ensure compliance with this section
   97  and chapter 896.
   98         (a) Multiple financial transactions shall be treated as a
   99  single transaction if the money services business has knowledge
  100  that they are made by or on behalf of any one person and result
  101  in value in or value out totaling a value of more than $10,000
  102  during any day.
  103         (b) A money services business may keep a record of any
  104  financial transaction occurring in this state, regardless of the
  105  value, if it suspects that the transaction involves the proceeds
  106  of unlawful activity.
  107         (c) The money services business must file a report with the
  108  office of any records required by this subsection, at such time
  109  and containing such information as required by rule. The timely
  110  filing of the report required by 31 U.S.C. s. 5313 with the
  111  appropriate federal agency shall be deemed compliance with the
  112  reporting requirements of this subsection unless the reports are
  113  not regularly and comprehensively transmitted by the federal
  114  agency to the office.
  115         (d) A money services business, or control person, employee,
  116  or agent thereof, that files a report in good faith pursuant to
  117  this section is not liable to any person for loss or damage
  118  caused in whole or in part by the making, filing, or
  119  governmental use of the report, or any information contained
  120  therein.
  121         (8)(a) Except as provided in paragraph (b), a person who
  122  willfully violates any provision of this section commits a
  123  misdemeanor of the first degree, punishable as provided in s.
  124  775.082 or s. 775.083.
  125         (b) A person who willfully violates any provision of this
  126  section, if the violation involves:
  127         1. Currency, monetary value, payment instruments, or
  128  virtual currency, or payment stablecoins of a value exceeding
  129  $300 but less than $20,000 in any 12-month period, commits a
  130  felony of the third degree, punishable as provided in s.
  131  775.082, s. 775.083, or s. 775.084.
  132         2. Currency, monetary value, payment instruments, or
  133  virtual currency, or payment stablecoins of a value totaling or
  134  exceeding $20,000 but less than $100,000 in any 12-month period,
  135  commits a felony of the second degree, punishable as provided in
  136  s. 775.082, s. 775.083, or s. 775.084.
  137         3. Currency, monetary value, payment instruments, or
  138  virtual currency, or payment stablecoins of a value totaling or
  139  exceeding $100,000 in any 12-month period, commits a felony of
  140  the first degree, punishable as provided in s. 775.082, s.
  141  775.083, or s. 775.084.
  142         (c) In addition to the penalties authorized by s. 775.082,
  143  s. 775.083, or s. 775.084, a person who has been convicted of,
  144  or entered a plea of guilty or nolo contendere, regardless of
  145  adjudication, to having violated paragraph (b) may be sentenced
  146  to pay a fine of up to the greater of $250,000 or twice the
  147  value of the currency, monetary value, payment instruments, or
  148  virtual currency, or payment stablecoins, except that on a
  149  second or subsequent conviction for or plea of guilty or nolo
  150  contendere, regardless of adjudication, to a violation of
  151  paragraph (b), the fine may be up to the greater of $500,000 or
  152  quintuple the value of the currency, monetary value, payment
  153  instruments, or virtual currency, or payment stablecoins.
  154         (d) A person who violates this section is also liable for a
  155  civil penalty of up to the greater of the value of the currency,
  156  monetary value, payment instruments, or virtual currency, or
  157  payment stablecoins involved or $25,000.
  158         (9) A state qualified payment stablecoin issuer must comply
  159  with any anti-money laundering regulation provided in the GENIUS
  160  Act under Pub. L. No. 119-27, which includes, but is not limited
  161  to, provisions relating to economic sanctions, prevention of
  162  money laundering, customer identification, and due diligence in
  163  the Bank Secrecy Act, s. 21 of the Federal Deposit Insurance
  164  Act, 12 U.S.C. s. 1813, chapter 2 of Title I of Pub. L. No. 91
  165  508, and subchapter II of chapter 53 of Title 31, United States
  166  Code.
  167         Section 4. Subsection (1), paragraph (a) of subsection (5),
  168  and subsection (6) of section 560.125, Florida Statutes, are
  169  amended to read:
  170         560.125 Unlicensed activity; penalties.—
  171         (1) A person may not engage in the business of a money
  172  services business or deferred presentment provider in this state
  173  unless the person is licensed, registered, or exempted from
  174  licensure or registration under this chapter. A deferred
  175  presentment transaction conducted by a person not authorized to
  176  conduct such transaction under this chapter is void, and the
  177  unauthorized person has no right to collect, receive, or retain
  178  any principal, interest, or charges relating to such
  179  transaction.
  180         (5) A person who violates this section, if the violation
  181  involves:
  182         (a) Currency, monetary value, payment instruments, or
  183  virtual currency, or payment stablecoins of a value exceeding
  184  $300 but less than $20,000 in any 12-month period, commits a
  185  felony of the third degree, punishable as provided in s.
  186  775.082, s. 775.083, or s. 775.084.
  187         (6) In addition to the penalties authorized by s. 775.082,
  188  s. 775.083, or s. 775.084, a person who has been convicted of,
  189  or entered a plea of guilty or nolo contendere to, having
  190  violated this section may be sentenced to pay a fine of up to
  191  the greater of $250,000 or twice the value of the currency,
  192  monetary value, payment instruments, or virtual currency, or
  193  payment stablecoins, except that on a second or subsequent
  194  violation of this section the fine may be up to the greater of
  195  $500,000 or quintuple the value of the currency, monetary value,
  196  payment instruments, or virtual currency.
  197         Section 5. Part V of chapter 560, Florida Statutes,
  198  consisting of ss. 560.501-560.506, Florida Statutes, is created
  199  and entitled “Payment Stablecoin Issuers.”
  200         Section 6. Section 560.501, Florida Statutes, is created to
  201  read:
  202         560.501Registration required; exemptions; transition to
  203  federal oversight.—
  204         (1)REGISTRATION REQUIREMENT.—Unless exempted, a person may
  205  not engage in the activity of a qualified payment stablecoin
  206  issuer as authorized in s. 560.503 in this state without first
  207  registering, or renewing registration, with the office in
  208  accordance with s. 560.502 and receiving notification from the
  209  office that such person is approved as a qualified payment
  210  stablecoin issuer. The office shall give written notice to such
  211  person that the agency has approved or denied the application
  212  for registration.
  213         (2)EXEMPTIONS.—
  214         (a) A payment instrument seller, foreign currency
  215  exchanger, check casher, or money transmitter that is licensed
  216  as a money services business pursuant to s. 560.141 and issues
  217  payment stablecoins with a consolidated total outstanding
  218  issuance of $10 billion or less is exempt from registration as a
  219  qualified payment stablecoin issuer but is subject to ss.
  220  560.503 and 560.504.
  221         (b) A payment stablecoin that meets the requirements of
  222  this part is not a security and is not subject to chapter 517.
  223         (c) The following transactions are not regulated under this
  224  part:
  225         1. The direct transfer of payment stablecoins between two
  226  individuals acting on their own behalf and for their own lawful
  227  purposes, without the involvement of an intermediary.
  228         2. Any transaction involving the receipt of payment
  229  stablecoins by an individual between an account owned by the
  230  individual in the United States and an account owned by the
  231  individual abroad which are offered by the same parent company.
  232         3. Any transaction by means of a software or hardware
  233  wallet that facilitates an individual’s own custody of payment
  234  stablecoins.
  235         (3) TRANSITION TO FEDERAL OVERSIGHT.—
  236         (a)Unless a federal waiver is obtained, a qualified
  237  payment stablecoin issuer with a consolidated total outstanding
  238  payment stablecoin issuance that reaches the $10 billion
  239  threshold must comply with one of the following requirements:
  240         1.Not later than 360 days after the payment stablecoin
  241  issuance reaches such threshold, transition to the applicable
  242  federal regulatory framework administered jointly by the office
  243  and the United States Office of the Comptroller of the Currency;
  244  or
  245         2.Beginning on the date the payment stablecoin issuance
  246  reaches such threshold, cease issuing new payment stablecoins
  247  until the payment stablecoin falls below the $10 billion
  248  consolidated total outstanding issuance threshold.
  249         (b) A qualified payment stablecoin issuer remains subject
  250  to this part if a federal waiver of the transition requirements
  251  in paragraph (a) is obtained pursuant to the GENIUS Act, Pub. L.
  252  No. 119-27, and the office remains solely responsible for
  253  supervising the qualified payment stablecoin issuer, or if the
  254  office is jointly responsible with the United States Office of
  255  the Comptroller of the Currency to supervise the qualified
  256  payment stablecoin issuer pursuant to subparagraph (a)1. The
  257  office may enter into an agreement with the relevant primary
  258  federal payment stablecoin regulator for the joint supervision
  259  of any qualified payment stablecoin issuer.
  260         Section 7. Section 560.502, Florida Statutes, is created to
  261  read:
  262         560.502 Registration applications.—
  263         (1)To apply to be a qualified payment stablecoin issuer
  264  under this part, the applicant must submit a completed
  265  registration application on forms prescribed by rule of the
  266  commission. The application must include the following
  267  information:
  268         (a)The legal name of the applicant, including any
  269  fictitious or trade names used by the applicant in the conduct
  270  of its business, and the physical and mailing addresses of the
  271  applicant.
  272         (b)The date of the applicant’s formation and the state in
  273  which the applicant was formed, if applicable.
  274         (c)The name, social security number, alien identification
  275  number or taxpayer identification number, business and residence
  276  addresses, and employment history for the past 5 years for each
  277  control person as defined in s. 560.103.
  278         (d)A description of the organizational structure of the
  279  applicant, including the identity of any parent or subsidiary of
  280  the applicant, and a disclosure of whether any parent or
  281  subsidiary is publicly traded.
  282         (e)The name and mailing address of the registered agent in
  283  this state for service of process.
  284         (f)An attestation that the applicant has developed clearly
  285  documented policies, processes, and procedures regarding the use
  286  of blockchain analytics to prevent transfers to wallet addresses
  287  linked to known criminal activity, including the manner in which
  288  such blockchain analytics activity will integrate into its
  289  compliance controls, and that the applicant will maintain and
  290  comply with such blockchain analytics policies, processes, and
  291  procedures.
  292         (g)Any other information as required by this chapter or
  293  commission rule.
  294         (2)Any information needed to resolve deficiencies found in
  295  the application must be provided within a time period prescribed
  296  by rule.
  297         (3)A registrant shall report, on a form prescribed by rule
  298  of the commission, any change in the information contained in an
  299  initial application form or an amendment thereto within 30 days
  300  after the change is effective.
  301         (4)A registrant must renew its registration annually on or
  302  before December 31 of the year preceding the expiration date of
  303  the registration. To renew such registration, the registrant
  304  must submit a renewal application that provides the information
  305  required in subsection (1) if there are changes in the
  306  application information, or an affidavit signed by the
  307  registrant that the information remains the same as the prior
  308  year’s information.
  309         (5)Any renewal registration made pursuant to this section
  310  becomes effective upon the date the office approves the
  311  application for registration. The office shall approve the
  312  renewal registration within a timeframe prescribed by rule.
  313         (6)Failure to submit an application to renew a qualified
  314  payment stablecoin issuer’s registration within 60 days after
  315  the registration becomes inactive will result in the
  316  registration becoming expired. If the registration is expired, a
  317  new application to register the qualified payment stablecoin
  318  issuer pursuant to subsection (1) must be submitted to the
  319  office, and a certification of registration must be issued by
  320  the office before the qualified payment stablecoin issuer may
  321  conduct business in this state.
  322         (7)If a control person of a registrant or prospective
  323  registrant has engaged in any unlawful business practice, or has
  324  been convicted or found guilty of, or pled guilty or nolo
  325  contendere to, regardless of adjudication, a crime involving
  326  dishonest dealing, fraud, acts of moral turpitude, or other acts
  327  that reflect an inability to engage lawfully in the business of
  328  a registered qualified payment stablecoin issuer, the office may
  329  deny the prospective registrant’s initial registration
  330  application or the registrant’s renewal application.
  331         (8)The office shall deny the application of a qualified
  332  payment stablecoin issuer that submits a renewal application
  333  that fails to comply with subsection (1).
  334         (9)Any false statement made by a qualified payment
  335  stablecoin issuer in an application for registration under this
  336  section renders the registration void. A void registration may
  337  not be construed as creating a defense to any prosecution for
  338  violation of this chapter.
  339         Section 8. Section 560.503, Florida Statutes, is created to
  340  read:
  341         560.503 Limitation on payment stablecoin activities.—Unless
  342  licensed under this chapter or chapter 655 to conduct other
  343  financial business activities, a qualified payment stablecoin
  344  issuer may engage only in the following activities:
  345         (1) Issue payment stablecoins.
  346         (2) Redeem payment stablecoins.
  347         (3) Manage related reserves, including purchasing, selling,
  348  and holding reserve assets or providing custodial services for
  349  reserve assets, consistent with federal law and the laws of this
  350  state.
  351         (4) Undertake other activities that directly support any of
  352  the activities described in this section.
  353         Section 9. Section 560.504, Florida Statutes, is created to
  354  read:
  355         560.504Minimum prudential requirements—
  356         (1) In accordance with the GENIUS Act, Pub. L. No. 119-27,
  357  a qualified payment stablecoin issuer must comply with all of
  358  the following requirements:
  359         (a) Maintain identifiable reserves backing the outstanding
  360  payment stablecoins of the qualified payment stablecoin issuer
  361  on at least a one-to-one basis, with reserves consisting of any
  362  of the following:
  363         1. United States coin or currency or money standing to the
  364  credit of an account with a Federal Reserve Bank.
  365         2. Funds held as demand deposits or insured shares at an
  366  insured depository institution, subject to limitations
  367  established by the Federal Deposit Insurance Corporation and the
  368  National Credit Union Administration.
  369         3. Treasury bills, notes, or bonds with a remaining
  370  maturity or issued with a maturity of 93 days or less.
  371         4. Money received under repurchase agreements, with the
  372  qualified payment stablecoin issuer acting as a seller of
  373  securities and with an overnight maturity, that are backed by
  374  Treasury bills with a maturity of 93 days or less.
  375         5. Reverse purchase agreements, with the qualified payment
  376  stablecoin issuer acting as a purchaser of securities and with
  377  an overnight maturity, that are collateralized by Treasury
  378  bills, notes, or bonds on an overnight basis, subject to
  379  overcollateralization in line with standard market terms that
  380  meet federal requirements in the GENIUS Act, Pub. L. No. 119-27.
  381         6. Securities issued by an investment company registered
  382  under s. 8(a) of the Investment Company Act of 1940, 15 U.S.C.
  383  s. 80a-8(a), or other registered government money market fund,
  384  and that are invested solely in underlying assets described in
  385  subparagraphs 1.-5.
  386         7. Any other similarly liquid Federal Government-issued
  387  asset approved by the primary federal payment stablecoin
  388  regulator, in consultation with the office.
  389         8. Any reserve described in subparagraphs 1.-3. or
  390  subparagraph 6. or subparagraph 7. in tokenized form, provided
  391  that such reserves comply with all applicable laws and
  392  regulations.
  393         (b)Publicly disclose the issuer’s redemption policy, which
  394  must comply with all of the following requirements:
  395         1. Establish clear and conspicuous procedures for timely
  396  redemption of outstanding payment stablecoins.
  397         2.Publicly, clearly, and conspicuously disclose in plain
  398  language all fees associated with purchasing or redeeming the
  399  payment stablecoins, provided that such fees can be changed only
  400  upon not less than 7 days’ prior notice to consumers.
  401         (c) Publish on the issuer’s website a monthly reserve
  402  composition of the issuer’s reserve which must contain all of
  403  the following information:
  404         1. The total number of outstanding payment stablecoins
  405  issued by the issuer.
  406         2. The amount and composition of the reserves described in
  407  paragraph (a), including the average tenor and geographic
  408  location of custody of each category of reserve instruments.
  409         (d)Comply with all federal prohibitions on pledging,
  410  rehypothecating, or reusing reserve assets, either directly or
  411  indirectly, except for any of the following purposes:
  412         1. Satisfying margin obligations in connection with
  413  investments in permitted reserves under subparagraph (a)4. or
  414  subparagraph (a)5.
  415         2. Satisfying obligations associated with the use, receipt,
  416  or provision of standard custodial services.
  417         3.Creating liquidity to meet reasonable expectations of
  418  requests to redeem payment stablecoins, such that reserves in
  419  the form of Treasury bills may be sold as purchased securities
  420  for repurchase agreements with a maturity of 93 days or less,
  421  provided that either:
  422         a. The repurchase agreements are cleared by a clearing
  423  agency registered with the Securities and Exchange Commission;
  424  or
  425         b. The qualified payment stablecoin issuer receives prior
  426  approval from the office.
  427         (e)Engage a registered public accounting firm to conduct a
  428  monthly examination of the previous month-end reserve report.
  429  For purposes of this paragraph, the term “registered public
  430  accounting firm” means a public accounting firm registered with
  431  the Public Company Accounting Oversight Board.
  432         (f) Submit to the office each month a certification as to
  433  the accuracy of the month-end reserve report by the qualified
  434  payment stablecoin issuer’s chief executive officer and chief
  435  financial officer.
  436         (g) Comply with any federal regulations or state rules
  437  prescribed by commission rule relating to capital, liquidity,
  438  and risk management requirements.
  439         (h)Engage only custodians or safekeepers that comply with
  440  s. 10 of the GENIUS Act, Pub. L. No. 119-27.
  441         (i)Comply with any other federal requirements of s.
  442  section 4(a) of the GENIUS Act, Pub. L. No. 119-27, and any
  443  implementing federal regulations.
  444         (2) A qualified payment stablecoin issuer is prohibited
  445  from engaging in all of the following conduct:
  446         (a)Except as may be authorized under federal law, tying
  447  arrangements that condition access to stablecoin services on the
  448  purchase of unrelated products or services from such qualified
  449  payment stablecoin issuer or an agreement not to obtain products
  450  or services from a competitor.
  451         (b) Using deceptive names, which includes, but is not
  452  limited to, any of the following:
  453         1. Using any combination of terms relating to the United
  454  States Government, except abbreviations directly related to the
  455  currency to which a payment stablecoin is pegged, such as “USD.”
  456         2. Marketing a payment stablecoin in such a way that a
  457  reasonable person would perceive the payment stablecoin to be
  458  legal tender, as described in 31 U.S.C. s. 5103, issued by the
  459  United States, or guaranteed or approved by the United States
  460  Government.
  461         (c)Unless authorized by federal law, paying the holder of
  462  any payment stablecoin any form of interest or yield solely in
  463  connection with holding, use, or retention of such payment
  464  stablecoin.
  465         Section 10. Section 560.505, Florida Statutes, is created
  466  to read:
  467         560.505State certification.
  468         (1)No later than 20 days after the federal Stablecoin
  469  Certification Review Committee begins accepting certifications
  470  or no later than 20 days after the effective date of this act,
  471  whichever is later, the office must submit an initial
  472  certification to such committee on a form prescribed by the
  473  committee attesting that the state regulatory regime meets the
  474  criteria for substantial similarity established pursuant to the
  475  GENIUS Act.
  476         (2)No later than the date to be determined by the United
  477  States Secretary of the Treasury each year, the office must
  478  submit to the Stablecoin Certification Review Committee an
  479  additional certification that confirms the accuracy of the
  480  initial certification submitted.
  481         (3) The office must comply with the requirements of s.
  482  4(c)(4) of the GENIUS Act to ensure the state receives
  483  certification and annual recertification by the Stablecoin
  484  Certification Review Committee of the state regulatory regime.
  485         Section 11. Section 560.506, Florida Statutes, is created
  486  to read:
  487         560.506Rulemaking authority.—The commission shall adopt
  488  rules to administer this part as required in s. 13 of the GENIUS
  489  Act, Pub. L. No. 119-27. The commission shall also adopt rules
  490  relating to capital, liquidity, and risk management which are
  491  consistent with section 4(a)(4) of the GENIUS Act, Pub. L. No.
  492  119-27. The commission may adopt rules establishing standards
  493  for the conduct, supervision, examination, and regulation of
  494  qualified payment stablecoin issuers, including requirements
  495  relating to reserves, customer-asset protection, reporting, and
  496  compliance, in order to meet the minimum requirements
  497  established by the Stablecoin Certification Review Committee.
  498         Section 12. Section 658.997, Florida Statutes, is created
  499  to read:
  500         658.997 Qualified payment stablecoin issuers.
  501         (1) DEFINITIONS.—As used in this section, the term:
  502         (a) “Payment stablecoin” has the same meaning as in s.
  503  560.103.
  504         (b) “Qualified payment stablecoin issuer” has the same
  505  meaning as in s. 560.103. The term does not include an insured
  506  depository institution, an uninsured national bank, a federal
  507  branch of a foreign bank, or a subsidiary of such entities. For
  508  purposes of this paragraph, the terms:
  509         1. “Federal branch” means a branch of a foreign bank
  510  established and operating under 12 U.S.C. s. 3102.
  511         2. “Insured depository institution” means any bank or
  512  savings association the deposits of which are insured by the
  513  Federal Deposit Insurance Corporation and insured credit union
  514  means any credit union the member accounts of which are insured
  515  by the National Credit Union Administration Board.
  516         3. “Subsidiary” means any company that is owned or
  517  controlled directly or indirectly by another company and
  518  includes any service corporation owned in whole or in part by an
  519  insured depository institution or any subsidiary of such a
  520  service corporation.
  521         (2) EXEMPTIONS.—
  522         (a)A trust company that is organized pursuant to this
  523  section and issues payment stablecoins with a consolidated total
  524  outstanding issuance of $10 billion or less is exempt from
  525  registration as a qualified payment stablecoin issuer but is
  526  subject to the provisions of this section.
  527         (b)A payment stablecoin that meets the requirements of
  528  this part is not a security and is not subject to the
  529  requirements of chapter 517.
  530         (c) The following transactions are not regulated under this
  531  part:
  532         1. The direct transfer of payment stablecoin between two
  533  individuals acting on their own behalf and for their own lawful
  534  purposes, without the involvement of an intermediary.
  535         2. Any transaction involving the receipt of payment
  536  stablecoin by an individual between an account owned by the
  537  individual in the United States and an account owned by the
  538  individual abroad which are offered by the same parent company.
  539         3. Any transaction by means of a software or hardware
  540  wallet that facilitates an individual’s own custody of payment
  541  stablecoins.
  542         (3)TRANSITION TO FEDERAL OVERSIGHT.—
  543         (a)Unless a federal waiver is obtained, a qualified
  544  payment stablecoin issuer with a consolidated total outstanding
  545  payment stablecoin issuance that reaches the $10 billion
  546  threshold must comply with one of the following requirements:
  547         1.Not later than 360 days after the payment stablecoin
  548  issuance reaches such threshold, transition to the applicable
  549  federal regulatory framework administered jointly by the office
  550  and the United States Office of the Comptroller of the Currency;
  551  or
  552         2.Beginning on the date the payment stablecoin issuance
  553  reaches such threshold, cease issuing new payment stablecoins
  554  until the payment stablecoin falls below the $10 billion
  555  consolidated total outstanding issuance threshold.
  556         (b) A qualified payment stablecoin issuer remains subject
  557  to this part if a federal waiver of the transition requirements
  558  in paragraph (a) is obtained pursuant to the GENIUS Act, Pub. L.
  559  No. 119-27, and the office remains solely responsible for
  560  supervising the qualified payment stablecoin issuer, or if the
  561  office is jointly responsible with the United States Office of
  562  the Comptroller of the Currency to supervise the qualified
  563  payment stablecoin issuer pursuant to subparagraph (a)1. The
  564  office may enter into an agreement with the relevant primary
  565  federal payment stablecoin regulator for the joint supervision
  566  of any qualified payment stablecoin issuer.
  567         (4)LIMITATION ON PAYMENT STABLECOIN ACTIVITIES.—Unless
  568  licensed under chapter 560 or chapter 655 to conduct other
  569  financial business activities, a qualified payment stablecoin
  570  issuer may engage only in the following activities:
  571         (a) Issue payment stablecoins.
  572         (b) Redeem payment stablecoins.
  573         (c) Manage related reserves, including purchasing, selling,
  574  and holding reserve assets or providing custodial services for
  575  reserve assets, consistent with federal law and the laws of this
  576  state.
  577         (d) Undertake other activities that directly support any of
  578  the activities described in this section.
  579         (5) MINIMUM PRUDENTIAL REQUIREMENTS.
  580         (a) In accordance with the GENIUS Act, Pub. L. No. 119-27,
  581  a qualified payment stablecoin issuer shall comply with all of
  582  the following requirements:
  583         1. Maintain identifiable reserves backing the outstanding
  584  payment stablecoins of the qualified payment stablecoin issuer
  585  on at least a one-to-one basis, with reserves consisting of any
  586  of the following:
  587         a. United States coin or currency or money standing to the
  588  credit of an account with a Federal Reserve Bank.
  589         b. Funds held as demand deposits or insured shares at an
  590  insured depository institution, subject to limitations
  591  established by the Federal Deposit Insurance Corporation and the
  592  National Credit Union Administration.
  593         c. Treasury bills, notes, or bonds with a remaining
  594  maturity or issued with a maturity of 93 days or less.
  595         d.Money received under repurchase agreements, with the
  596  qualified payment stablecoin issuer acting as a seller of
  597  securities and with an overnight maturity, that are backed by
  598  Treasury bills with a maturity of 93 days or less.
  599         e. Reverse purchase agreements, with the qualified payment
  600  stablecoin issuer acting as a purchaser of securities and with
  601  an overnight maturity, that are collateralized by Treasury
  602  bills, notes, or bonds on an overnight basis, subject to
  603  overcollateralization in line with standard market terms that
  604  meet federal requirements in the GENIUS Act, Pub. L. No. 119-27.
  605         f. Securities issued by an investment company registered
  606  under s. 8(a) of the Investment Company Act of 1940, 15 U.S.C.
  607  s. 80a-8(a), or other registered government money market fund,
  608  and that are invested solely in underlying assets described in
  609  subparagraphs 1.-5.
  610         g. Any other similarly liquid Federal Government-issued
  611  asset approved by the primary federal payment stablecoin
  612  regulator, in consultation with the office.
  613         h. Any reserve described in subparagraphs 1.-3. or
  614  subparagraph 6. or subparagraph 7. in tokenized form, provided
  615  that such reserves comply with all applicable laws and
  616  regulations.
  617         2.Publicly disclose the issuer’s redemption policy, which
  618  must comply with all of the following requirements:
  619         a. Establish clear and conspicuous procedures for timely
  620  redemption of outstanding payment stablecoins.
  621         b.Publicly, clearly, and conspicuously disclose in plain
  622  language all fees associated with purchasing or redeeming the
  623  payment stablecoins, provided that such fees can be changed only
  624  upon not less than 7 days’ prior notice to consumers.
  625         3. Publish on the issuer’s website a monthly reserve
  626  composition of the issuer’s reserve which must contain all of
  627  the following information:
  628         a. The total number of outstanding payment stablecoins
  629  issued by the issuer.
  630         b. The amount and composition of the reserves described in
  631  subparagraph 1., including the average tenor and geographic
  632  location of custody of each category of reserve instruments.
  633         4.Comply with all federal prohibitions on the pledging,
  634  rehypothecating, or reusing reserve assets, either directly or
  635  indirectly, except for any of the following purposes:
  636         a. Satisfying margin obligations in connection with
  637  investments in permitted reserves under subparagraph (a)4. or
  638  subparagraph (a)5.
  639         b. Satisfying obligations associated with the use, receipt,
  640  or provision of standard custodial services.
  641         c.Creating liquidity to meet reasonable expectations of
  642  requests to redeem payment stablecoins, such that reserves in
  643  the form of Treasury bills may be sold as purchased securities
  644  for repurchase agreements with a maturity of 93 days or less,
  645  provided that either:
  646         (I) The repurchase agreements are cleared by a clearing
  647  agency registered with the Securities and Exchange Commission;
  648  or
  649         (II) The qualified payment stablecoin issuer receives prior
  650  approval from the office.
  651         5. Engage a registered public accounting firm to conduct a
  652  monthly examination of the previous month-end reserve report.
  653  For purposes of this subparagraph, the term “registered public
  654  accounting firm” means a public accounting firm registered with
  655  the Public Company Accounting Oversight Board.
  656         6. Submit to the office each month a certification as to
  657  the accuracy of the month-end reserve report by the qualified
  658  payment stablecoin issuer’s chief executive officer and chief
  659  financial officer.
  660         7. Comply with any federal regulations or state rules
  661  prescribed by commission rule relating to capital, liquidity,
  662  and risk management requirements.
  663         8.Engage only custodians or safekeepers that comply with
  664  s. 10 of the GENIUS Act, Pub. L. No. 119-27.
  665         9. Comply with any other federal requirements of s. 4(a) of
  666  the GENIUS Act, Pub. L. No. 119-27, and any implementing federal
  667  regulations.
  668         (b) A qualified payment stablecoin issuer is prohibited
  669  from engaging in all of the following conduct:
  670         1.Except as may be authorized under federal law, tying
  671  arrangements that condition access to stablecoin services on the
  672  purchase of unrelated products or services from such qualified
  673  payment stablecoin issuer or an agreement not to obtain products
  674  or services from a competitor.
  675         2. Using deceptive names, which includes, but is not
  676  limited to, any of the following:
  677         a. Using any combination of terms relating to the United
  678  States Government, except abbreviations directly related to the
  679  currency to which a payment stablecoin is pegged, such as “USD.”
  680         b. Marketing a payment stablecoin in such a way that a
  681  reasonable person would perceive the payment stablecoin to be
  682  legal tender, as described in 31 U.S.C. s. 5103, issued by the
  683  United States, or guaranteed or approved by the United States
  684  Government.
  685         3. Unless authorized by federal law, paying the holder of
  686  any payment stablecoin any form of interest or yield solely in
  687  connection with holding, use, or retention of such payment
  688  stablecoin.
  689         (6) CERTIFICATION.—The office’s initial certification and
  690  annual recertification submission to the federal Stablecoin
  691  Certification Review Committee pursuant to s. 560.505 must
  692  include any relevant information related to the provisions of
  693  this chapter in the office’s request for certification or
  694  recertification of the state regulatory regime of payment
  695  stablecoins.
  696         (7) RULEMAKING.—The commission may adopt rules to
  697  administer this section as required in s. 13 of the GENIUS Act,
  698  Pub. L. No. 119-27. The commission must also adopt rules
  699  relating to capital, liquidity, and risk management which are
  700  consistent with section 4.(a)(4) of the GENIUS Act, Pub. L. No.
  701  119-27. The commission may adopt rules establishing standards
  702  for the conduct, supervision, examination, and regulation of
  703  qualified payment stablecoin issuers, including requirements
  704  relating to reserves, customer-asset protection, reporting, and
  705  compliance in order to meet the minimum requirements established
  706  by the Stablecoin Certification Review Committee.
  707         Section 12. This act shall take effect upon becoming a law.
  708  
  709  ================= T I T L E  A M E N D M E N T ================
  710  And the title is amended as follows:
  711         Delete everything before the enacting clause
  712  and insert:
  713                        A bill to be entitled                      
  714         An act relating to payment stablecoin; amending s.
  715         560.103, F.S.; revising the definition of the term
  716         “money services business”; defining terms; amending s.
  717         560.114, F.S.; revising the actions by a money
  718         services business which constitute grounds for
  719         disciplinary actions; amending s. 560.123, F.S.;
  720         revising the Florida Control of Money Laundering in
  721         Money Services Business Act to include payment
  722         stablecoins; requiring certain payment stablecoin
  723         issuers to comply with certain regulations; amending
  724         s. 560.125, F.S.; revising the prohibition regarding
  725         the business of money services businesses or deferred
  726         presentment providers; revising the circumstances
  727         relating to violations of certain provisions; creating
  728         part V of ch. 560, F.S., entitled “Payment Stablecoin
  729         Issuers”; creating s. 560.501, F.S.; prohibiting
  730         persons from engaging in the activity of a qualified
  731         payment stablecoin issuer without registering and
  732         receiving a specified notification; providing that
  733         certain money services businesses are exempt from
  734         registration requirements; specifying that certain
  735         payment stablecoins are not a security and are not
  736         subject to certain requirements; specifying that
  737         certain transactions are not regulated under certain
  738         provisions; requiring qualified payment stablecoin
  739         issuers to comply with certain requirements;
  740         specifying that qualified payment stablecoin issuers
  741         are subject to certain provisions under certain
  742         circumstances; specifying that the Office of Financial
  743         Regulation remains solely responsible for supervising
  744         qualified payment stablecoin issuers or is jointly
  745         responsible with the United States Office of the
  746         Comptroller of the Currency for such supervision under
  747         certain circumstances; creating s. 560.502, F.S.;
  748         requiring applicants seeking to be a qualified payment
  749         stablecoin issuer to submit a specified application to
  750         the office; requiring applicants to resolve
  751         deficiencies found in their applications within a
  752         certain timeframe; requiring registrants to report
  753         changes in their information within a specified
  754         timeframe; requiring registrants to renew registration
  755         annually; requiring the registrant to renew
  756         registration in a specified manner; specifying that
  757         the renewal registration becomes effective on a
  758         certain date; requiring the office to approve renewal
  759         registration within a specified timeframe; specifying
  760         that failure to submit an application within a
  761         specified timeframe results in the registration
  762         becoming expired; requiring a qualified payment
  763         stablecoin issuer with an expired registration to
  764         submit a new application to the office; providing that
  765         the office must issue a certification of registration
  766         before the qualified payment stablecoin issuer may
  767         conduct business in this state; authorizing the office
  768         to deny the prospective registrant’s renewal
  769         application under certain circumstances; requiring the
  770         office to deny the application of qualified payment
  771         stablecoin issuers under certain circumstances;
  772         specifying that any false statement in the application
  773         renders the registration void; providing construction;
  774         creating s. 560.503, F.S.; specifying that qualified
  775         payment stablecoin issuers may only engage in certain
  776         activities; creating s. 560.504, F.S.; requiring
  777         qualified payment stablecoin issuers to comply with
  778         certain requirements; prohibiting qualified payment
  779         stablecoin issuers from engaging in certain conduct;
  780         creating s. 560.505, F.S.; requiring the office to
  781         submit initial and additional certifications to a
  782         specified committee under certain circumstances;
  783         requiring the office to comply with certain
  784         requirements; creating s. 560.506, F.S.; requiring the
  785         Financial Services Commission to adopt specified
  786         rules; creating s. 658.997, F.S.; defining terms;
  787         specifying that certain trust companies are exempt
  788         from registration as qualified payment stablecoin
  789         issuers but are subject to certain provisions;
  790         specifying that certain payment stablecoins are not
  791         securities and are not subject to certain
  792         requirements; specifying that certain transactions are
  793         not regulated by certain provisions; requiring
  794         qualified payment stablecoin issuers to comply with
  795         certain requirements; specifying that qualified
  796         payment stablecoin issuers remain subject to certain
  797         provisions under certain circumstances; authorizing
  798         the office to enter into an agreement with specified
  799         regulators for joint supervision of qualified payment
  800         stablecoin issuers; specifying that the office remains
  801         solely responsible for supervising qualified payment
  802         stablecoin issuers or is jointly responsible with the
  803         United States Office of the Comptroller of the
  804         Currency for such supervision under certain
  805         circumstances; specifying that qualified payment
  806         stablecoin issuers may engage only in certain
  807         activities; requiring qualified payment stablecoin
  808         issuers to comply with certain requirements; defining
  809         the term “registered public accounting firm”;
  810         prohibiting qualified payment stablecoin issuers from
  811         engaging in certain conduct; requiring that the
  812         office’s initial and annual recertification include
  813         certain information; providing for certain rule
  814         adoption by the commission; providing an effective
  815         date.