Title 19
Financial Institutions

Chapter 14.3
Currency Transmissions

R.I. Gen. Laws § 19-14.3-1.1

§ 19-14.3-1.1. Definitions.

In addition to the definitions provided in § 19-14-1 the following definitions are applicable to this chapter:

(1) “Control” means:

(i) When used in reference to a transaction or relationship involving virtual currency, the power to execute unilaterally or prevent indefinitely a virtual currency transaction; and

(ii) When used in reference to a person, the direct or indirect power to direct the management, operations, or policies of the person through legal or beneficial ownership of twenty-five percent (25%) or more of the voting power in the person or under a contract, arrangement, or understanding.

(2) “Department” means the department of business regulation, division of banking.

(3) “Exchange,” used as a verb, means to assume control of virtual currency from or on behalf of a resident, at least momentarily, to sell, trade, or convert:

(i) Virtual currency for legal tender, bank credit, or one or more forms of virtual currency; or

(ii) Legal tender or bank credit for one or more forms of virtual currency.

(4) “Legal tender” means a medium of exchange or unit of value, including the coin or paper money of the United States, issued by the United States or by another government.

(5) “Licensee” means a person licensed under this chapter.

(6) “Monetary value” means a medium of exchange, whether or not redeemable in money.

(7) “Reciprocity agreement” means an arrangement between the department and the appropriate licensing agency of another state that permits a licensee operating under a license granted by the other state to engage in currency transmission business activity with or on behalf of a resident.

(8) “Record” means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form.

(9) “Registry” means the Nationwide Multistate Licensing System.

(10) “Resident”:

(i) Means a person that:

(A) Is domiciled in this state;

(B) Is physically located in this state for more than one hundred eighty-three (183) days of the previous three hundred sixty-five (365) days; or

(C) Has a place of business in this state; and

(ii) Includes a legal representative of a person that satisfies subsection (10)(i) of this section.

(11) “Responsible individual” means an individual who has managerial authority with respect to a licensee’s currency transmission business activity with or on behalf of a resident.

(12) “Sign” means, with present intent to authenticate or adopt a record:

(i) To execute or adopt a tangible symbol; or

(ii) To attach to or logically associate with the record an electronic symbol, sound, or process.

(13) “State” means a state of the United States, the District of Columbia, Puerto Rico, the United States Virgin Islands, or any territory or insular possession subject to the jurisdiction of the United States.

(14) “Store,” except in the phrase “store of value,” means to maintain control of virtual currency on behalf of a resident by a person other than the resident. “Storage” and “storing” have corresponding meanings.

(15) “Transfer” means to assume control of virtual currency from or on behalf of a resident and to:

(i) Credit the virtual currency to the account of another person;

(ii) Move the virtual currency from one account of a resident to another account of the same resident; or

(iii) Relinquish control of virtual currency to another person.

(16) “U.S. Dollar equivalent of virtual currency” means the equivalent value of a particular virtual currency in United States dollars shown on a virtual currency exchange based in the United States for a particular date or period specified in this chapter.

(17) “Virtual currency business activity” means:

(i) Exchanging, transferring, or storing virtual currency whether directly or through an agreement with a virtual currency control-services vendor;

(ii) Holding electronic precious metals or electronic certificates representing interests in precious metals on behalf of another person or issuing shares or electronic certificates representing interests in precious metals; or

(iii) Exchanging one or more digital representations of value used within one or more online games, game platforms, or family of games for:

(A) Virtual currency offered by or on behalf of the same publisher from which the original digital representation of value was received; or

(B) Legal tender or bank credit outside the online game, game platform, or family of games offered by or on behalf of the same publisher from which the original digital representation of value was received.

(18) “Virtual currency control-services vendor” means a person who has control of virtual currency solely under an agreement with a person who, on behalf of another person, assumes control of virtual currency.

History of Section.
P.L. 2019, ch. 226, § 4; P.L. 2019, ch. 246, § 4.