Banks, credit unions can offer virtual currency custody services

A new law will allow banking institutions and credit unions to provide virtual currency custody services in a nonfiduciary capacity.

Any institution offering the services must do so in a safe and sound manner and will be required to maintain written policies and procedures governing risk management, internal controls, cybersecurity, business continuity and compliance.

At least 60 days prior to commencing virtual currency custody services, an institution must provide written notice, including the nature of the services and its risk management framework, to the Department of Commerce.

The law takes effect Aug. 1, 2026, and applies to virtual currency custody services commenced on or after that date.

It was sponsored by Rep. Bernie Perryman (R-St. Augusta) and Sen. Judy Seeberger (DFL-Afton).

HF3790*/SF3794/CH93

HF3709* / SF3794 / CH93