Scope. This chapter governs Kiosks, as such term is defined herein, and the conduct of any person operating a Kiosk in the State. In this chapter, the following terms have the meanings indicated. Terms Defined “Commissioner” has the meaning stated in Financial Institutions Article, §1-101, Annotated Code of Maryland. “Electronic Notice of Fraud” means any Any electronic communication from a User to an Operator expressing a concern that a transaction the User conducted using a Virtual Currency Service provided through the Operator’s Kiosk was a Fraudulent Transaction; and Sent to an Operator using either: A process established on the Operator’s website for submitting a Notice of Fraud through the website; or An email address the Operator uses for receiving Notices of Fraud. “Fee” means any cost, charge, fee, or other expenses, however defined, collected by or on behalf of an Operator and collected from or charged to any User in connection with obtaining: A Virtual Currency Service from a Kiosk; or Any money transmission involving virtual currency facilitated through a Kiosk. “Fixed Location Kiosk” means a Kiosk the Operator intends to operate at a single location for the calendar year in which the Kiosk is registered hereunder. “Fraud” means: Any common law fraud; An intentional act or attempt to obtain something of value from a person through threats, willful misrepresentation, or representations made with a reckless disregard for the truth; or Any willful false or reckless representation of a material fact, whether by words or by conduct, by false, reckless, or misleading allegations, or by concealment of that which should have been disclosed, which causes a person to act, or fail to act, to the detriment of the person’s interest. “Fraudulent Transaction” means any transaction involving a User who obtains a Virtual Currency Service from a Kiosk in connection with the transaction if the User engaged in the transaction because of Fraud perpetrated by another person. Kiosk. “Kiosk” means a virtual currency kiosk “Kiosk” includes any Fixed Location Kiosk and Mobile Kiosk. “Mail” means first class United States mail, postage prepaid. “Mobile Kiosk” means a Kiosk the Operator intends to operate at more than one location for the calendar year in which the Kiosk is registered. “Money Transmission” has the meaning stated in Financial Institutions Article, §12-401, Annotated Code of Maryland. “NMLS” has the meaning stated in Financial Institutions Article, §1-101, Annotated Code of Maryland. “Non-Electronic Notice of Fraud” means: Any verbal or written communication from a User to an Operator which expresses a concern that the transaction the User conducted with a Virtual Currency Service provided through the Operator’s Kiosk was a Fraudulent Transaction; and Sent to an Operator in any manner that does not constitute an Electronic Notice of Fraud. “Notice of Fraud” means any: Electronic Notice of Fraud; and Non-electronic Notice of Fraud. “Operator” means a Virtual Currency Kiosk Operator. User. “User” means any person using a Kiosk located in the State to obtain a Virtual Currency Service. “User” includes a person who authorizes a third party to obtain a Virtual Currency Service using a Kiosk on behalf of the User. “Receipt” means the receipt an Operator must dispense or display to a User under Financial Institutions Article §12-1204, Annotated Code of Maryland. “Registration Fee” means any fee imposed by the Commissioner to: Register as an Operator; or Register a Kiosk. “State” means the state of Maryland. “Virtual Currency” has the meaning stated in Financial Institutions Article, §12-1201, Annotated Code of Maryland. “Virtual Currency Address” means an alphanumeric identifier representing a destination for a virtual currency transfer that is associated with a virtual currency wallet. “Virtual Currency Kiosk” has the meaning stated in Financial Institutions Article, §12-1201, Annotated Code of Maryland. “Virtual Currency Kiosk Operator” has the meaning stated in Financial Institutions Article, §12-1201, Annotated Code of Maryland. “Virtual Currency Service” has the meaning stated in Financial Institutions Article, §12-1201, Annotated Code of Maryland. “Virtual Currency Wallet” means a software application or other mechanism providing a means for holding, storing and transferring virtual currency. Registration of Operator. A person may not operate a Kiosk in the State after January 1, 2026, unless registered as an Operator with the Commissioner. A person shall register through NMLS with the Commissioner as an Operator: On or before January 1, 2026, if operating a Kiosk in the State on or before that date; or Prior to operating a Kiosk in the State after January 1, 2026. A person registering as an Operator shall pay: The Commissioner a non-refundable Registration Fee of $2,000; and Any cost or fee required by NMLS. A person registering as an Operator shall provide through NMLS: The legal name of the Operator and any trade name used by the Operator in accordance with Financial Institutions Article §2-121, Annotated Code of Maryland; The address of the operator’s principal executive office; The names of any persons directly or indirectly holding an ownership share of 10 percent or more of the operator; A flow of funds for all Virtual Currency Services the Operator will offer through its Kiosks; and Any other information the Commissioner requests. Registration of Kiosks. An Operator may not operate a Kiosk in the State on or after January 1, 2026, unless the Operator has registered that Kiosk with the Commissioner. A person shall register each Kiosk operated in the State through NMLS with the Commissioner: On or before January 1, 2026, if operating that Kiosk in the State on or before that date; or Prior to operating that Kiosk in the State after January 1, 2026. An Operator registering a Kiosk shall pay: The Commissioner a non-refundable Registration Fee of $200 for each registered Kiosk; and Any fee required by NMLS. An Operator registering a Kiosk shall provide through NMLS: Unique identifying information for the Kiosk, such as the manufacturer name, model number, serial number, or asset tag; If the Kiosk is a Fixed Location Kiosk, the address at which the Kiosk will be operated; If the Kiosk is a Mobile Kiosk: The address of each location at which the Operator expects to operate the Kiosk for more than 30 calendar days; and The geographic area encompassing the locations at which the Operator expects to operate the Kiosk for 30 calendar days or less; A description of all services to be provided by the Kiosk; and Any other information the Commissioner requests. An Operator shall designate a Kiosk intended for use as a Fixed Location Kiosk as a Fixed Location Kiosk through NMLS in accordance with the process the Commissioner requires. An Operator shall designate a Kiosk intended for use as a Mobile Kiosk as a Mobile Kiosk through NMLS in accordance with the process the Commissioner requires. An Operator may only operate a Kiosk at the address or, if a Mobile Kiosk, in the geographic area listed for that Kiosk in NMLS. An Operator may change the designation of a Kiosk as either a Mobile Kiosk or a Fixed Location Kiosk through NMLS by: Changing the designation through the process the Commissioner requires; Paying any required fee; and Updating the Kiosk’s location information. Contemporaneously with changing a Kiosk’s location, an Operator must update information in NMLS to accurately reflect the new location. Term of Registrations and Renewals. The term of any registration under this regulation shall: Begin the day the Operator completes the registration in NMLS; and Expire on December 31 of the year: The Operator completes the registration, if completed before November 1; or Succeeding the year the Operator completes the registration, if completed between November 1 and December 31. On or after November 1 of each year, registration as an Operator and for each individual Kiosk under this regulation may be renewed for a 1-year term if the Operator: Is otherwise entitled to be registered; Completes the renewal process established through NMLS; Provides through NMLS any information the Commissioner requests as part of the renewal; Submits through NMLS the annual report required by Regulation .08 of this chapter; Pays any fees imposed by NMLS; Pays the Commissioner a non-refundable Registration Fee of $2,000 to register as an Operator; and Pays the Commissioner a non-refundable Registration Fee of $200 for each Kiosk the Operator intends to operate in the State. A person may not renew registration for a Kiosk unless the person has renewed its registration as an Operator. All Registration Fees shall be paid to the Commissioner through NMLS. Money Transmission. Registration as an Operator does not exempt a person from licensure under Financial Institutions Article, Title 12, Subtitle 4, Annotated Code of Maryland, if one or more Kiosks operated by the Operator facilitate money transmission. Possession of a license, or exemption from licensure, under Financial Institutions Article, Title 12, Subtitle 4, Annotated Code of Maryland, does not exempt a person from registration under Financial Institutions Article, Title 12, Subtitle 12, Annotated Code of Maryland, if that person operates a Kiosk offering virtual currency services. A Kiosk shall be deemed to facilitate money transmission if it is capable of facilitating money transmission, regardless of whether the Operator purports to offer money transmission services through that kiosk, unless the Operator disables this function and prevents such facilitation. An Operator offering both Virtual Currency Services and money transmission through a Kiosk shall fully comply with all applicable provisions of: Financial Institutions Article, Title 12, Subtitle 4, Annotated Code of Maryland, and all regulations issued thereunder; and Financial Institutions Article, Title 12, Subtitle 12, Annotated Code of Maryland, and all regulations issued thereunder. Other Services. An Operator may only offer the following services through a Kiosk: Virtual Currency Services; Money transmission, provided the Operator complies with the licensing provisions of Financial Institutions Article, Title 12, Subtitle 4, Annotated Code of Maryland; and Any other service State law expressly authorizes an operator to offer through a Kiosk. Any service offered through a Kiosk must comply with all State law relating to that service, including all applicable licensing or registration requirements. Scope. This regulation governs the procedure by which a User may request a Fee Refund on a transaction the User alleges is a Fraudulent Transaction. A User’s rights under this regulation are in addition to any rights a User may have under any applicable law. Definitions. In this regulation, the following terms have the meanings indicated. Terms Defined. “Fee Refund” means a refund under this regulation of the Fee charged to that User. “Refund Claim” means a User’s claim for a Fee Refund. “Refund Denial” means an Operator’s denial of a Refund Claim. “Written Confirmation” means a written confirmation of a verbally given Notice of Fraud. Notice of Fraud by User. An Operator shall treat any Notice of Fraud as a Refund Claim. A User must provide a Notice of Fraud to an Operator no more than 90 calendar days after the alleged Fraudulent Transaction. A Notice of Fraud is sufficient for this regulation if it: Includes the User’s name; Provides a copy of the Receipt or otherwise provides information sufficient to identify the Virtual Currency Services the User obtained through the Operator’s Kiosk; and Contains a brief description of why the User believes the transaction was a Fraudulent Transaction. An Operator may not engage in any act or subterfuge to make it difficult for a User to provide a Notice of Fraud. Place of Notice. An Operator must offer a User: At least one method to submit an Electronic Notice of Fraud; and At least one method to submit a Non-electronic Notice of Fraud. The Operator shall conspicuously include information on its website and in any promotional materials explaining how a User may submit: An Electronic Notice of Fraud; and A Non-electronic Notice of Fraud. An Operator may require the User to submit a Non-electronic Notice of Fraud only to a telephone number or address disclosed on the Receipt, provided that the Operator: Has reasonable procedures to redirect a User to the specified telephone number or address if the User attempts to provide a Non-electronic Notice of Fraud by other means; Has reasonable procedures to route any written Non-electronic Notice of Fraud the Operator receives at any other address to the department or personnel responsible for investigating and resolving a Refund Claim; and Conspicuously displays the designated telephone number or address for a User to provide a Non-electronic Notice of Fraud on any website the Operator maintains. If a User provides a written Notice of Fraud to an address other than the address designated by the Operator and the Operator receives such Notice of Fraud: The Operator must process the Notice of Fraud as a Refund Claim in accordance with this regulation; and The time frame for investigating and resolving the Refund Claim shall begin 5 business days after the Operator’s receipt of the Notice of Fraud at the incorrect address. Written Confirmation. An Operator may require a User to provide Written Confirmation of a verbal Non-electronic Notice of Fraud within 30 calendar days of the verbal Non-electronic Notice of Fraud. An Operator requiring a Written Confirmation under this Section shall: At the time of the verbal Non-electronic Notice of Fraud: Inform the User that the Operator must receive a Written Confirmation; and Inform the User that the Operator will mail the User a notice concerning the Written Confirmation; and Within 3 business days of the verbal Non-electronic Notice of Fraud, mail the User written notice stating: The Operator requires a Written Confirmation; A specific date at least 30 calendar days after the date of the notice by which the User must submit the Written Confirmation; The address to send the Written Confirmation; and The User’s failure to timely provide a Written Confirmation may result in a Refund Denial. An Operator may not require the Written Confirmation to include information inconsistent with the definition of a Non-electronic Notice of Fraud. A User who verbally provides a Non-electronic Notice of Fraud within the time frame established by §E(2) of this regulation has timely submitted a Notice of Fraud. If a User fails to provide the Written Confirmation within 30 calendar days of the Operator’s full compliance with §E(2) of this regulation: The Operator may mail written notice to the User: Informing the User that the Operator has not received the Written Confirmation; Requiring the User to provide the Written Confirmation within 30 calendar days of the notice; and Informing the User the Operator may deny the Refund Claim if the User fails to provide the Written Confirmation within 30 calendar days of the notice. A User’s failure to provide a timely Written Confirmation following the Operator’s compliance with §E(5)(a) of this regulation constitutes grounds to issue a Refund Denial. Investigation and Resolution. Except as otherwise expressly set forth in this regulation, an Operator shall have 30 calendar days from receipt of a Notice of Fraud to investigate and resolve the Refund Claim. If the Operator requested a Written Confirmation in compliance with §E of this regulation, the Operator shall have 30 calendar days from receipt of the Written Confirmation to investigate and resolve the Refund Claim. In connection with its investigation of a Refund Claim, an Operator may: Inquire if the User filed a police report; Inquire if the User possesses any documents or communications relating to the alleged Fraudulent Transaction; and Request copies of any police report filed or documents possessed by the User and relating to the alleged Fraudulent Transaction. In connection with its investigation of a Refund Claim, an Operator may not: Require the filing of a police report; Require the User to provide copies of a filed police report or documents relating to the alleged Fraudulent Transaction; Imply that a failure to file a police report, provide copies of a filed police report, or provide copies of documents relating to the alleged Fraudulent Transaction will impact the Refund Claim; Issue a Refund Denial based on a failure to file a police report, failure to provide copies of a filed police report, or failure to provide copies of documents relating to the to the alleged Fraudulent Transaction; or Charge any cost, fee, or other amount to investigate and resolve a Refund Claim. A User shall reasonably cooperate with the Operator’s investigation of a Refund Claim by answering questions concerning the Fraudulent Transaction. Within 3 business days of completing its investigation, an Operator shall resolve a Refund Claim by mailing the User either: A Refund Denial; or A statement granting the Refund Claim. A Refund Denial must: Generally describe the Operator’s investigative process; List any facts the Operator relied on for the Refund Denial; Describe any other factors the Operator relied on for the Refund Denial; Inform the User of the right to file a complaint regarding the Refund Denial with the Commissioner; and Provide the User with a link or other information needed to reach the Commissioner. An Operator may not issue a Refund Denial based on any of the following: User’s negligence; User’s failure to consider or act upon warnings and disclosures provided by the Operator; User’s responses to questions posed by the Operator when the User obtained the Virtual Currency Services; or User submission of a Notice of Fraud for a prior transaction. A Fee Refund shall be issued promptly in United States currency. A User receiving a Refund Denial may file a complaint with the Commissioner. A complaint concerning a Refund Denial must be filed with the Commissioner within 3 years of the User’s receipt of the Refund Denial. An Operator shall maintain restrictions that prevent more than one User of the Operator from using the same virtual currency wallet. An Operator shall have the ability to prevent designated virtual currency wallets from being used at any Kiosk of the Operator. An Operator shall use an established third party that specializes in performing blockchain analyses to preemptively perform such analyses to identify and prevent high risk or sanctioned virtual currency wallets from being used by Users at Kiosks of the Operator. An Operator shall establish, in the Operator’s policies and procedures, a risk-based method of monitoring Users on a post-transaction basis. An Operator shall designate and employ a chief compliance officer. An Operator shall provide all required notices and communications to a User under this chapter using information the Operator collects from the User under Financial Institutions Article, §12-1204 (c), Annotated Code of Maryland. This regulation does not apply to: The Receipt; and Any notices or communications this chapter requires the Operator to: Physically place on the Kiosk; or Display on a Kiosk screen. An Operator shall provide reasonable procedures for a User to securely change contact information the User previously supplied to the Operator. An Operator shall provide reasonable procedures for a User to select the User’s preferred method of communication. The User’s selection of a preferred method of communication shall not relieve an Operator of any duty to provide information in a manner expressly required by this chapter. Each Kiosk operated in the State by an Operator shall comply with Financial Institutions Article, §§1-402 (b), (c) and 1-402.1, Annotated Code of Maryland for each Kiosk it operates. For the purposes of this regulation only, the Operator shall treat the Kiosk as an automated teller machine. The exceptions contained in Financial Institutions Article, §§1-402 (a), Annotated Code of Maryland do not apply to a Kiosk. An Operator shall evaluate the safety of each Kiosk, regardless of location. The required safety evaluation need not consider the factors identified in Financial Institutions Article, §§1-402(b)(2), Annotated Code of Maryland, for a Kiosk located in a building meeting the requirements of Financial Institutions Article, §§1-402 (a)(2)(i), Annotated Code of Maryland. Each Kiosk operated in the State shall conspicuously display signage stating: “This Kiosk offers services relating to virtual currencies. The Maryland Commissioner of Financial Regulation will accept all questions or complaints regarding this Kiosk, operated by (name of Operator and NMLS unique identifier) at (address of Commissioner), phone (toll-free phone number of the Commissioner), or https://labor.maryland.gov/finance/ . You may confirm registration of this Kiosk with the Maryland Commissioner of Financial Regulation at (NMLS consumer access website).” All required on-screen notices and disclosures under Financial Institutions Article §12-1201 et. seq., Annotated Code of Maryland, and this chapter shall: Remain on the Kiosk screen for a minimum of: Four seconds if the notice or disclosure contains 12 or less words; or One second for every 3 words, or fractions thereof, contained in the notice or disclosure; and Require User action to advance to another screen. For the purposes of calculating the time period a notice or disclosure must remain on a screen pursuant to Part A of this regulation, the words contained in a notice or disclosure include words that require scrolling to view. In addition to information required by Financial Institutions Article, §12-1204, Annotated Code of Maryland, a Receipt shall include: The name of, and contact information for, the Operator, including, but not limited to, the Operator's business address and a customer service telephone number established by the Operator to answer questions and register complaints; The Operator’s NMLS unique identifier; The User’s name; The date of the transaction reflected in the Receipt; The amount of such virtual currency transaction expressed in United States currency; The exchange rate for the transaction, if applicable; The virtual currency address for that virtual currency transaction; The full unique transaction hash or identification number associated with the transaction; The public virtual currency address of the User; Any fee charged by the Operator; Any tax collected by the Operator for such virtual currency transaction; If the transaction reflected in the Receipt involves money transmission, the recipient’s name and virtual currency address; A statement that the User may request a Fee Refund of any Fee charged in connection with a Fraudulent Transaction by submitting a Notice of Fraud; A statement explaining how a User may submit a Notice of Fraud, including any address or phone number the Operator has designated pursuant to Regulation .03 of this chapter for submitting a Notice of Fraud; and A statement the Maryland Commissioner of Financial Regulation will accept all questions or complaints regarding the Kiosk, at (address of Commissioner), phone (toll-free phone number of the Commissioner), or https://labor.maryland.gov/finance/. The Receipt shall be provided in English and in the any other language principally used by the Operator to advertise its services or transact business on the Kiosk. The Kiosk shall offer the User the ability to elect to receive the Receipt electronically at the time of the transaction; If the User does not elect electronic delivery of the Receipt, the Receipt shall be delivered to the User in retainable form at the time of the transaction. An Operator shall maintain all transactional data required for a Receipt for a period of 7 years from the date of the transaction. A Receipt that satisfies the requirements of this Regulation shall be deemed to satisfy the requirements contained in COMAR 09.03.14.16C for a virtual currency transaction conducted on a Kiosk that involves money transmission. Compliance with COMAR 09.03.14.16C does not relieve an Operator of any additional requirements imposed by this regulation. An Operator shall prepare an annual report listing the following information for each Kiosk it maintains: Information sufficient to identify that Kiosk; The total number of transactions and the total dollar amount of transactions processed by that Kiosk; If the Kiosk was not operating for the full 12 months covered by the annual report, information sufficient to determine the timeframe in which the Operator operated that Kiosk in the State; The number of Notices of Fraud received for that Kiosk; If the Kiosk is a Mobile Kiosk, the location of the Mobile Kiosk at the time of the transaction described in each Notice of Fraud; The number and dollar amount of Refund Denials issued for that Kiosk; The number and dollar amount of Fee Refunds issued for that Kiosk; and The dollar amount of Fees subject to Notices of Fraud for that Kiosk. The Annual Report required by this regulation: Should include information with respect to each Kiosk for the lesser of: The preceding 12 months; or The timeframe in which that Kiosk offered Virtual Currency Services in the State; and May run for any 12 consecutive monthly period ending no earlier than September 1 of the current calendar year. The Operator shall submit this annual report to the Commissioner through NMLS: At the time the Operator renews its Operator registration in accordance with Regulation .03 of this chapter; or On or before December 31st of the current calendar year if the Operator does not intend to renew its Operator registration in accordance with Regulation .03 of this chapter. Financial Institutions Article, §§2-105.1, and 12-1209, Annotated Code of Maryland Effective date: Regulations .01—.10 adopted as an emergency provision effective December 5, 2025 (52:26 Md. R. 1306); adopted permanently effective March 30, 2026 (53:6 Md. R. 286)