Kentucky
General Assembly

02/12/26	introduced in Senate to Committee on Committees (S)
02/20/26	to Banking & Insurance (S)
02/24/26	reported favorably, 1st reading, to Calendar with Committee Substitute (1)
02/25/26	floor amendment (1) filed to Committee Substitute 2nd reading, to Rules
02/26/26	floor amendment (2) filed to Committee Substitute posted for passage in the Regular Orders of the Day for Friday, February 27 2026
02/27/26	passed over and retained in the Orders of the Day
03/02/26	3rd reading floor amendment (1) withdrawn passed 37-0 with Committee Substitute (1) and Floor Amendment (2)
03/03/26	received in House to Committee on Committees (H)
03/24/26	to Banking & Insurance (H)
03/25/26	reported favorably, 1st reading, to Calendar with Committee Substitute (1) and Committee Amendment (1-title) floor amendment (1) filed to Committee Substitute
03/26/26	2nd reading, to Rules floor amendment (2) filed to Committee Substitute
03/27/26	posted for passage in the Regular Orders of the Day for Tuesday, March 31 2026

Amendment	Senate Committee Substitute 1
Summary	Retain original provisions; except amend maximum daily transaction limit for existing virtual currency kiosk users to $10,500 per day; limit 72 hour hold or refund requirement to new virtual currency kiosk users; modify requirements for annual inflation adjustment to maximum daily transaction limit; make technical amendments.
Index Headings	Banks And Financial Institutions - Virtual currency kiosk operators, transaction requirements Commerce - Virtual currency kiosk operators, transaction requirements Consumer Protection - Virtual currency kiosk operators, transaction requirements Digital Assets - Virtual currency kiosk operators, transaction requirements State Agencies - Department of Financial Institutions, virtual currency kiosks, annual inflation adjustment Technical Corrections - Virtual currency kiosk operators, regulation

Amendment	Senate Floor Amendment 1
Sponsor	S. Rawlings
Summary	Retain original provisions, except modify licensing requirements for persons engaging in virtual currency kiosk business; modify maximum transaction limits for licensees; prohibit licensees from collecting virtual currency kiosk charges in excess of specified limits; require licensees to provide live customer service via a toll-free telephone number during operating hours, specified notices at virtual currency kiosks, and a paper or electronic receipt at the option of a virtual currency kiosk user; direct that a fraud victim's eligibility for a refund shall not be waived by required disclosures; require licensees to verify the identity of virtual currency kiosk users prior to accepting payment, provide refunds, provide a dedicated fraud communications line for law enforcement and the Department of Financial Institutions, and cooperate in fraud investigations.
Index Headings	Banks And Financial Institutions - Virtual currency kiosk operators, regulation Commerce - Virtual currency kiosk operators, regulation Consumer Protection - Virtual currency kiosk operators, regulation Digital Assets - Virtual currency kiosk operators, regulation Licensing - Virtual currency kiosk operators, regulation Peace Officers And Law Enforcement - Virtual currency kiosks, fraud enforcement State Agencies - Department of Financial Institutions, virtual currency kiosks, fraud enforcement

Amendment	Senate Floor Amendment 2
Sponsor	S. Rawlings
Summary	Retain original provisions, except modify licensing requirements for persons engaging in virtual currency kiosk business; add maximum transaction limit for transactions occurring within first 30 days; prohibit licensees from collecting virtual currency kiosk charges in excess of specified limits; require licensees to provide live customer service via a toll-free telephone number during operating hours, specified notices at virtual currency kiosks, and a paper or electronic receipt at the option of a virtual currency kiosk user; direct that a fraud victim's eligibility for a refund shall not be waived by required disclosures; require licensees to verify the identity of virtual currency kiosk users prior to accepting payment, provide refunds, provide a dedicated fraud communications line for law enforcement and the Department of Financial Institutions, and cooperate in fraud investigations.
Index Headings	Banks And Financial Institutions - Virtual currency kiosk operators, regulation Commerce - Virtual currency kiosk operators, regulation Consumer Protection - Virtual currency kiosk operators, regulation Digital Assets - Virtual currency kiosk operators, regulation Licensing - Virtual currency kiosk operators, regulation Peace Officers And Law Enforcement - Virtual currency kiosks, fraud enforcement State Agencies - Department of Financial Institutions, virtual currency kiosks, fraud enforcement

Amendment	House Committee Substitute 1
Fiscal Impact Statements	Corrections Impact to House Committee Substitute 1 Local Mandate to House Committee Substitute 1
Summary	Retain original provisions; except modify and add definitions; establish exemptions; delete quarterly reporting requirement and add authorization by the commissioner to require certain regular reports; require kiosk locations and agents to be approved by the commissioner; permit regulatory filings to be submitted to a nationwide licensing system registry; modify initial and renewal application processes and requirements, reporting, bond and tangible net worth, change of control, and record retention requirements for virtual currency kiosk operators; permit the commissioner to promulgate administrative regulations to establish certain additional fee requirements for virtual currency kiosk operators; establish agent and permissible investment requirements for virtual currency kiosk operators; modify virtual currency kiosk transaction limits and disclosures, anti-fraud and information security compliance procedures, and refund requirements; authorize the commissioner to accept complaints; modify confidentiality of certain documents provided to the commissioner; require the commissioner to publish an annual report on the department's website; modify due process requirements for adverse actions taken by the commissioner against licensees and other persons; modify requirements for the denial, suspension, or revocation of a license; modify civil penalties; establish criminal penalties for false records and unlicensed activity; amend KRS 286.2-015 to authorize political subdivisions of this Commonwealth to enact and enforce ordinances, regulations, and resolutions pertaining to virtual currency kiosk business; create a new section of KRS Chapter 367 to provide that certain digital asset business-related violations shall be deemed a violation of, and subject to the remedies and penalties of, KRS 367.170; amend KRS 431.073 to authorize expungement of a Class D felony under the virtual currency kiosk business subtitle; create a new section of KRS 369.130 to 369.139 to define "hardware wallet provider"; require hardware wallet providers to provide live customer service during operating hours and to provide a mechanism for, and assistance with, resetting any password, pin, seed phrase, or other similar information necessary to access the contents of a hardware wallet; provide that a violation of the section is an unfair, false, misleading, or deceptive trade practices in violation of KRS 367.170; provide that the remedies and penalties are cumulative; authorize the Attorney General to promulgate administrative regulations for the proper enforcement of the hardware wallet provider requirements; EFFECTIVE, in part, April 30, 2027.
Index Headings	Effective Dates, Delayed - Virtual currency kiosk operators, regulation, April 30, 2027 Licensing - Virtual currency kiosk operators Local Government - Virtual currency kiosk operators, regulation Peace Officers And Law Enforcement - Virtual currency kiosk operators, enforcement Reports Mandated - Department of Financial Institutions, virtual currency kiosks, regulation State Agencies - Department of Financial Institutions, virtual currency kiosks, regulation Corrections Impact - Virtual currency kiosk operators, criminal penalties Local Mandate - Virtual currency kiosk operators, enforcement Administrative Regulations And Proceedings - Department of Financial Institutions, virtual currency kiosk operators, regulation Attorney General - Digital asset business requirements, Consumer Protection Act, enforcement Banks And Financial Institutions - Virtual currency kiosk operators, regulation Commerce - Digital asset businesses, regulation Consumer Protection - Digital asset businesses, regulation Crimes And Punishments - Virtual currency kiosk operators, criminal penalties Digital Assets - Digital asset businesses, regulation

Amendment	House Committee Amendment 1
Sponsor	T. Smith
Summary	Make title amendment.
Index Headings	Title Amendments - SB 189/GA

Amendment	House Floor Amendment 1
Sponsor	M. Meredith
Summary	Retain original provisions, except modify trade practice requirements for hardware wallet providers.
Index Headings	Attorney General - Digital assets, hardware wallet providers, trade practice requirements Consumer Protection - Digital assets, hardware wallet providers, trade practice requirements Digital Assets - Hardware wallet providers, trade practice requirements Information Technology - Digital assets, hardware wallet providers, trade practice requirements Technology - Digital assets, hardware wallet providers, trade practice requirements

Amendment	House Floor Amendment 2
Sponsor	M. Meredith
Summary	Retain original provisions, except modify trade practice requirements for hardware wallet providers.
Index Headings	Attorney General - Digital assets, hardware wallet providers, trade practice requirements Consumer Protection - Digital assets, hardware wallet providers, trade practice requirements Digital Assets - Hardware wallet providers, trade practice requirements Information Technology - Digital assets, hardware wallet providers, trade practice requirements Technology - Digital assets, hardware wallet providers, trade practice requirements