Summary: SSB 1142 (renumbered as SF 449) – Digital Financial Asset Transaction Kiosks
Overview
- Purpose: Establish consumer disclosures, reporting, and licensing requirements for operators of kiosks that facilitate digital financial asset transactions. The bill aims to increase transparency for consumers and strengthen regulatory oversight by the Division of Banking.
- Status: Committee report approving the bill; renumbered as SF 449. Introduced Feb 18, 2025; subcommittee recommended passage; subcommittee and committee actions completed in Feb 2025.
Key Provisions
- Consumer disclosures at kiosks
- Operators must disclose to the consumer:
- The dollar amount of the digital financial asset involved in the transaction
- Any charges collected by the operator
- If there is no method to reverse/refund, a warning that all transactions are final
- Disclosures must be clear, conspicuous, and provided separately from any other disclosures.
- Receipts
- For every kiosk transaction, operators must provide the consumer with a receipt containing the disclosure details required above.
- Public disclosures and operator listing
- Operators must provide the Division of Banking with a list of all kiosk locations within the state.
- Updates must be provided within 30 days of any change.
- The Division must publish each operator’s location list on its website for public access.
- Licensing and compliance for non-transacting operators
- If an operator does not conduct digital asset transactions themselves but facilitates or permits another person to do so via the kiosk, the operator must:
- Ensure the person has a license under Code section 533C.301
- Ensure that charges collected from consumers via the kiosk comply with the bill
- Scope of regulation
- Applies to operators of digital financial asset kiosks and requires ongoing reporting to the Division of Banking
- Includes provisions related to disclosure, fees, and required records/reports
Affected parties
- Operators of digital financial asset kiosks (including those who may only facilitate transactions by others)
- Consumers using kiosk-based digital asset services
- Iowa Division of Banking (administrative oversight and public disclosure)
- Licensees under Code section 533C.301 (for gatekeepers/facilitators)
Procedural and Timeline Details
- Introduced: February 18, 2025
- Subcommittee: Meeting Feb 19, 2025 (McClintock, Bennett, Sires)
- Subcommittee action: Recommendation to pass (Feb 19)
- Committee action: Report approved and renumbered as SF 449 (Feb 25, 2025)
Notes
- The bill’s language emphasizes separation of disclosures, tangible receipts, and public accessibility of kiosk locations to enhance transparency and consumer protection in digital asset transactions.
