Article Title

E-Money Regulation in the United States

Document Type



In the United States, the regulation of non-bank issuers of stored value and electronic money has been an outgrowth of existing regulatory frameworks rather than a new legislative development. State regulators have made revisions to the longstanding prudential frameworks in the non-bank financial sector. Building on existing state laws, the Uniform Money Services Act (“UMSA” or “Act”) is a new state safety and soundness law that creates licensing provisions for Money services businesses (MSBs). Among the goals of the new uniform act is the suppression of money laundering by requiring MSBs to register with state regulators and adhere to safety and soundness requirements. The UMSA also places the various forms of stored value and electronic money now emerging in the Internet economy under one law.