SB3670 Summary: Uniform Money Transmission Modernization Act

• Creates the Uniform Money Transmission Modernization Act to replace the existing Transmitters of Money Act, establishing comprehensive state regulation of money transmission, payment instruments, and stored value activities.

• Requires money transmission licensees to maintain tangible net worth of the greater of $100,000 or tiered percentages of total assets, obtain surety bonds ($1-$2 million), and hold permissible investments backing all outstanding money transmission obligations.

• Establishes licensing requirements including applications, background checks, financial disclosures, and approval processes; authorizes multistate licensing coordination through NMLS and allows streamlined acquisition of control for well-managed licensees.

• Imposes operational requirements including timely transmission of funds (within 3 business days), refund obligations (within 10 days), receipt provisions, and comprehensive record-keeping for at least 3 years.

• Adds Article XIII regulating token currency (stablecoins) as money transmission, requiring issuers to maintain one-to-one reserve backing with high-quality liquid assets, monthly attestations, and enhanced consumer disclosures; effective January 1, 2026, with transition provisions for existing licensees.