NJ S2957

Requires virtual currency kiosk operators in New Jersey to obtain money transmitter licenses from the Department of Banking and Insurance and submit quarterly reports listing all kiosk locations in the state.

Mandates extensive consumer disclosures before transactions, including warnings that virtual currency is not legal tender, not FDIC-insured, transactions may be irreversible, and values can be volatile.

Requires kiosks to display fraud warnings asking customers if they were directed to make payments by phone callers claiming to be from banks, police, or utilities, and to confirm they are sending funds to wallets they control.

Operators must use blockchain analytics software to prevent transactions to wallets associated with fraudulent activity and provide live customer service via toll-free number Monday through Friday, 8 a.m. to 10 p.m. EST.

Each operator must employ full-time compliance and consumer protection officers and maintain written anti-fraud and Enhanced Due Diligence policies identifying customers at risk based on age or mental capacity.