Gentlemen, in as much as many of us hate govt, please, if you choose to be a broker of money, a seller of money, or in the business of moving money FOR A FEE just get the license.
Not as easy done as said.
Here in Illinois for example:
http://msblicensing.weebly.com/illinois_money-transmitter-license-requirements.htmlSpecific license requirements for Illinois money transmitters.To register as a money transmitter in the state of Illinois requires the following fees and documentation:
- Business organization documents, which vary depending on whether the business is a corporation, partnership, or other structure
- Audited financial statements certified by a licensed PA; unaudited balance sheet and statement of operation for most recent quarter certified by a corporate officer
- If a wholly owned subsidiary or able to file consolidated tax returns with parent, company may submit unaudited financial statements for the preceding year and most recent quarter along with the audited financial statements of the parent company
- SEC filings
- List of all other states the applicant is licensed in, name and address of the respective regulator
- Complete list of all current and proposed money transmitters in state of Illinois
- Sample contract for authorized sellers
- Name and address of clearing banks through which business will be conducted
- $100 application fee
- $100 license fee + $10 per location
- $10 processing fee
- Written statement acknowledging that the applicant is in full compliance with and agrees to fully comply with state and federal money laundering regulations
- Name, title, and percent stock ownership of every officer, director, or shareholder with over 10% ownership interest
- Business experience, convictions, and material litigation history over past 10 years for every officer, director, or shareholder with over 10% interest
- Appointment of attorney-in-fact for service of process
Note: in Illinois, the net worth requirement for money transmitters varies by location.
What are the Illinois surety bonding requirements?Bonding requirements for Illinois money transmitter license include:
In Illinois, the bonding requirement for applicants is $100,000 or an amount equal to the daily average of outstanding payment instruments for the preceding 12 months or operational history (whichever is shorter). Requirements may not exceed $2,000,000.
When the bond amount exceeds $1,000,000, the applicant or licensee may post a bond in the amount of $1,000,000 plus a dollar for dollar increase in the net worth of the applicant or licensee over and above the required amount, up to a total amount of $2,000,000
Fortunately, the Illinois Department of Financial & Professional Regulation recently released a notice indicating that Illinois residents don't currently need a state license to buy and sell bitcoins:
http://www.idfpr.com/Notice Regarding Virtual Currency Licensure
The Illinois Department of Financial and Professional Regulation (IDFPR) has not yet made a determination as to the requirement of licensure of virtual currency (also known as crypto currency) providers, converters and/or exchangers, or dispensing machines (ATMs) but continues to review the matter. IDFPR is not accepting applications for virtual currency licensure at this time.
IDFPR recommends that all parties interested in virtual currency issues regularly monitor IDFPR's website for further updates. IDFPR will not penalize Applicants/Licensees for any virtual currency activity conducted in the State of Illinois during the deliberative process should it be determined that licensure is required.
