Rhode Island — Bitcoin and virtual-currency law
Document text
Research, not advice. Part of the Bitcoin research archive (October 2026). Claims labelled unverified, contested or fringe are reported, not endorsed; statuses of bills and rules are as of the date checked. Government, court and patent records are public domain; the research notes are CC BY 4.0.
Rhode Island — Bitcoin and virtual-currency law
- Jurisdiction: State of Rhode Island (US)
- Date checked: 2026-10-09 (all statuses below were checked on this date unless another date is given)
- Regulator: Department of Business Regulation (DBR), Division of Banking
- Legislature: 2026 session ended June 2026; next session January 2027.
- Saved primary sources:
sources/states/ri/(seesources/states/ri/INDEX.md)
At a glance
| Topic | Rhode Island position | Key cite | Status (checked 2026-10-09) |
|---|---|---|---|
| Money-transmitter licence for virtual currency | Yes. Currency transmission "includes maintaining control of virtual currency or transactions in virtual currency on behalf of others" | R.I. Gen. Laws § 19-14-1 (definitions), ch. 19-14.3 (Currency Transmissions) | In force [S1][S2] |
| URVCBA-style rules | Customer-disclosure duties for virtual-currency licensees and a rule that customer coins held by a licensee are not the licensee's property and not reachable by its creditors — language that tracks the Uniform Regulation of Virtual-Currency Businesses Act (URVCBA) (comparison is this note's analysis) | §§ 19-14.3-3.5, 19-14.3-3.6 (P.L. 2019, ch. 226 and 246) | In force since 2019 [S3][S4] |
| Model law | Partial MTMA (net worth and permissible investments; Banking Bulletins 2022-1 and 2022-2; H 7282 / S 2803 in 2024) | CSBS | Effective 2024-06-25 [S9][S10] |
| Crypto ATMs / kiosks | Licence as a money transmitter; DBR registration and prior approval of each kiosk; quarterly location reports; $2,000/day new customers, $5,000/day existing; blockchain analytics; compliance officer; refunds for fraud reported within 90 days (full amount for new customers within their first 30 days; fees for existing) | §§ 19-14.3-3.9 to -3.13 (P.L. 2025, ch. 113 and 114) | Effective 2025-06-23 [S5][S6][S7][S8] |
| Tax | S 2021 (2026) would exempt small Bitcoin transactions (up to $5,000/month, $20,000/year) from state income tax | S 2021 | Pending per NCSL (March 2026) (final status unverified) [S11] |
1. Money-transmitter licensing of virtual currency
- R.I. Gen. Laws § 19-14-1 (definitions for licensed financial services, saved): currency transmission covers receiving money or monetary value for transmission "by any and all means … This includes maintaining control of virtual currency or transactions in virtual currency on behalf of others." [S1]
- Chapter 19-14.3 "Currency Transmissions" (index saved) contains virtual-currency sections: § 19-14.3-3.5 (required disclosures for virtual currency), § 19-14.3-3.6 (property interests and entitlements to virtual currency), § 19-14.3-3.7 (compliance programs), § 19-14.3-3.8 (prohibited acts), and the 2025 kiosk sections §§ 3.9–3.13. [S2]
- § 19-14.3-3.6 (P.L. 2019, ch. 226 § 4 and ch. 246 § 4): a licensee controlling virtual currency for others must keep enough of each type to cover all customers' entitlements; if short, customers share pro rata; the coins are "held for the persons entitled," are "not property of the licensee," and are "not subject to the claims of creditors of the licensee." [S4]
- § 19-14.3-3.5: before dealing with a resident, a virtual-currency licensee must disclose fees, whether the product is insured or guaranteed (FDIC/SIPC), and other items set by DBR rule, separately and conspicuously. [S3]
- These two sections closely follow the URVCBA's customer-protection articles; Rhode Island did not adopt the URVCBA as a whole (the URVCBA link is this note's comparison; the Uniform Law Commission tracker could not be read — unverified).
- MTMA: CSBS lists Rhode Island as Partial — R.I. Gen. Laws § 19-14-1 et seq. plus Banking Bulletin 2022-2; H 7282 / S 2803 (2024) added MTMA tangible-net-worth and permissible-investment provisions, effective 2024-06-25, including limits on investments by currency transmitters "including crypto currency." [S9][S10][S11]
2. Virtual-currency-specific statutes
| Law | What it does | Status | Source |
|---|---|---|---|
| P.L. 2019, ch. 226 and ch. 246 | Virtual-currency licensing language, disclosures, customer property protection | In force since 2019 | [S3][S4] |
| H 7282 / S 2803 (2024) | Banking-law update incl. MTMA net worth and permissible investments for currency transmitters (incl. crypto) | Enacted 2024 | [S10][S11] |
| H 7210 / S 2781 (2024) | UCC amendments for emerging technologies | Enacted 2024 | [S11] |
| P.L. 2025, ch. 113 and ch. 114 (H 5121 / S 16 per NCSL) | Virtual currency kiosk sections §§ 19-14.3-3.9 to -3.13 | Effective 2025-06-23 | [S5]–[S8][S11] |
3. Crypto ATM / kiosk law
R.I. Gen. Laws §§ 19-14.3-3.9 to 19-14.3-3.13, added by P.L. 2025, ch. 113 and ch. 114, effective 2025-06-23 (sections saved). [S5][S6][S7][S8][N1]
- § 3.9 Licensing and registration: a kiosk operator may not engage in virtual-currency business activity unless licensed as a money transmitter; may not place a kiosk unless it registers the kiosk and obtains DBR's prior approval for activation; quarterly location reports within 45 days, including each kiosk's virtual-currency addresses. [S5]
- § 3.10 Disclosures: risk warnings, fees, exchange rates, and detailed receipts (transaction hash, addresses, sender and recipient, fees, refund policy). No percentage fee cap appears in the text read. [S8]
- § 3.11 Fraud prevention: blockchain analytics to block wallets tied to fraud; written anti-fraud policy; full-time compliance officer owning no more than 20%. Refunds: on request, a new customer fraudulently induced gets the full amount of all transactions made in the first 30 days, if the customer contacts the operator and a government or law-enforcement agency within 90 days of the last such transaction; an existing customer gets all transaction fees refunded on the same 90-day condition. [S6]
- § 3.12 Daily limits: $2,000 per day for new customers; $5,000 per day for existing customers, across all kiosks in the state. [S7]
- § 3.13 Customer service (not opened).
- 2026 follow-up bills: H 7955 / S 2648 would widen "kiosk operator" to include owners, non-owners and anyone who facilitates kiosk purchases, and widen "kiosk transaction" (NCSL, March 2026). The statute pages read on 2026-10-09 show only the 2025 session laws in their history, suggesting these did not pass (unverified). [S5][S11]
4. Tax treatment
- No Rhode Island Division of Taxation crypto guidance was found (gap). RI income tax starts from federal AGI (general knowledge; unverified).
- S 2021 (2026) — simplified state income-tax exemption for small Bitcoin transactions up to $5,000 per month or $20,000 per year (pending per NCSL, March 2026); S 451 (2025) had proposed exempting Bitcoin sales under $1,000. Wealth-tax bills (1% of worldwide wealth) also appeared in 2025 and 2026. Final outcomes unverified. [S11]
5. Notable enforcement
- No Rhode Island DBR crypto enforcement action was located in this check (gap).
6. Pending and recently failed bills (2026 session ended June 2026)
| Bill | Subject | Status per NCSL (2026-03-25) | Source |
|---|---|---|---|
| H 7955 / S 2648 | Broaden kiosk operator and transaction definitions | Pending → session ended; apparently not enacted (unverified) | [S11] |
| S 2021 | Income-tax exemption for small Bitcoin transactions | Pending → (final unverified) | [S11] |
| H 7413 "State Economic Growth Blockchain Act" | Blockchain depository banks, fintech sandbox | Pending → (final unverified) | [S11] |
| H 7843 | Rhode Island DAO Act (DAOs as LLCs) | Pending → (final unverified) | [S11] |
| H 7957 / S 2196 | No compelled production of private keys | Pending → (final unverified) | [S11] |
| H 7956 / S 2198 | Study commission on blockchain and crypto | Pending → (final unverified) | [S11] |
| H 7595 / S 2361 | 1% wealth tax | Pending → (final unverified) | [S11] |
| H 6007 (2025) | State Digital Asset Retention Act (treasurer may hold/invest in digital assets) | Pending 2025; not enacted (unverified) | [S11] |
7. Contested and fringe claims (flagged, not endorsed)
- 90-day vs. 14-day refund windows. Rhode Island gives fraud victims 90 days; New Hampshire's 2026 law (as reported) and Oklahoma's give 14 days. Consumer advocates favor longer windows; operators say long windows invite false claims (industry position not read from a source — unverified).
- Small-transaction tax exemption for Bitcoin (S 2021) is promoted by Bitcoin-as-money advocates (de minimis exemption) and opposed on revenue and fairness grounds (attribution unverified). [S11]
Sources
Saved full copies are in sources/states/ri/.
- [S1] Rhode Island General Laws § 19-14-1 (definitions). https://webserver.rilegislature.gov/statutes/title19/19-14/19-14-1.htm — retrieved 2026-10-09 — saved
ri-gl-19-14-1-definitions.htm - [S2] R.I. Gen. Laws chapter 19-14.3 index (Currency Transmissions). https://webserver.rilegislature.gov/statutes/title19/19-14.3/INDEX.htm — saved
ri-gl-19-14.3-currency-transmissions-index.htm - [S3] R.I. Gen. Laws § 19-14.3-3.5 (required disclosures for virtual currency). https://webserver.rilegislature.gov/statutes/title19/19-14.3/19-14.3-3.5.htm — saved
ri-gl-19-14.3-3.5-virtual-currency-disclosures.htm - [S4] R.I. Gen. Laws § 19-14.3-3.6 (property interests in virtual currency). https://webserver.rilegislature.gov/statutes/title19/19-14.3/19-14.3-3.6.htm — saved
ri-gl-19-14.3-3.6-property-interests-virtual-currency.htm - [S5] R.I. Gen. Laws § 19-14.3-3.9 (kiosk licensing and registration). https://webserver.rilegislature.gov/statutes/title19/19-14.3/19-14.3-3.9.htm — saved
ri-gl-19-14.3-3.9-virtual-currency-kiosks.htm - [S6] R.I. Gen. Laws § 19-14.3-3.11 (prevention of fraudulent activity; refunds). https://webserver.rilegislature.gov/statutes/title19/19-14.3/19-14.3-3.11.htm — saved
ri-gl-19-14.3-3.11-kiosk-fraud-prevention.htm - [S7] R.I. Gen. Laws § 19-14.3-3.12 (daily limits). https://webserver.rilegislature.gov/statutes/title19/19-14.3/19-14.3-3.12.htm — saved
ri-gl-19-14.3-3.12-kiosk-daily-limits.htm - [S8] R.I. Gen. Laws § 19-14.3-3.10 (kiosk disclosures). https://webserver.rilegislature.gov/statutes/title19/19-14.3/19-14.3-3.10.htm — saved
ri-gl-19-14.3-3.10-kiosk-disclosures.htm - [S9] CSBS, MTMA State Enactments (PDF dated 2026-10-08). https://www.csbs.org/sites/default/files/external-link-files/10.8.26%20MTMA%20State%20Enactments.pdf
- [S10] CSBS, MTMA legislative update (August 2026). https://www.csbs.org/mtma-legislative-update-august-2026
- [S11] NCSL, 2024, 2025 and 2026 cryptocurrency legislation pages. https://www.ncsl.org/financial-services/cryptocurrency-digital-or-virtual-currency-and-digital-assets-2026-legislation — read 2026-10-09
- [N1] Orrick InfoBytes, "Rhode Island enacts new virtual currency kiosk provisions," 2025-06-27 (headline only). https://infobytes.orrick.com/2025-06-27/rhode-island-enacts-new-virtual-currency-kiosk-provisions