KRS 286.13-045: Applications for approval of locations and agents -- Duties of

commissioner. (Effective April 30, 2027)

(1) (a) An applicant or licensee seeking to engage in virtual currency kiosk business

at one (1) or more locations in this state, either d irectly or through an agent,

shall file a complete application for approval of the location or locations with

the commissioner.

(b) An applicant or licensee seeking to designate one (1) or more agents to

engage in virtual currency kiosk business on behalf of the applicant or

licensee in this state shall file a complete application for approval of the agent

or agents with the commissioner.

(2) (a) Subject to paragraph (b) of this subsection, an application for approval to

engage in virtual currency kiosk bus iness at one (1) or more locations, or

through one (1) or more agents, in this state shall not be complete unless it:

1. Is made in writing, under oath or affirmation;

2. Is in a format required by the commissioner;

3. Contains, and is accompanied by, the information, documentation, and

evidence required or permitted under KRS 286.13 -040 that the

commissioner determines is necessary and appropriate for the purpose

of making the determination under subsection (3) of this section; and

4. Is accompanied by a n onrefundable fee for each location and agent that

is determined by the commissioner in accordance with KRS 286.13-070,

except the commissioner may waive the nonrefundable fee for any

application that is made at the same time as a license application under

KRS 286.13-035.

(b) When an applicant seeks approval to engage in virtual currency kiosk

business at one (1) or more locations, or through one (1) or more agents, in

this state at the same time as filing a license application under KRS 286.13 -

035, the commissioner may:

1. Accept the license application as the complete application required

under this section; or

2. Require the applicant to submit additional information to the

commissioner as part of the license application for each location, agent,

or location and agent.

(3) Upon receipt of a complete application in accordance with subsection (2) of this

section, and subject to KRS 286.13 -125, the commissioner shall do one (1) of the

following for each proposed location and agent:

(a) The commissioner shall issue an unconditional approval to the applicant or

licensee to engage in virtual currency kiosk business at the location, or

through the agent, in this state if, after inves tigation, the commissioner

determines that:

1. The applicant or licensee will conduct business at the location, or

through the agent, in a lawful and proper manner; and

2. The interest of the public will not be jeopardized by the applicant or

licensee conducting business at the location or through the agent;

(b) 1. The commissioner may issue a notice of intent to issue a conditional

approval to the applicant or licensee to engage in virtual currency kiosk

business at the location, or through the agent, in t his state if the

commissioner, after investigation, determines that the conditions,

including any additional bond amount specified by the commissioner

under KRS 286.13 -050, are necessary for the applicant or licensee to

satisfy the requirements of paragraph (a)1. and 2. of this subsection.

2. A notice of intent issued under subparagraph 1. of this paragraph shall

specify the additional conditions that are required for the applicant or

licensee to engage in the proposed activity.

3. The commissioner may issu e a conditional approval to an applicant or

licensee to engage in virtual currency kiosk business at the location, or

through the agent, in this state if the applicant or licensee files a written

acceptance of the conditions specified in the notice issued under

subparagraph 1. of this paragraph to the applicant or licensee within

thirty (30) days after service of the notice.

4. If the department does not receive an applicant's or a licensee's written

acceptance of the conditions specified in the notice issu ed under

subparagraph 1. of this paragraph to the applicant or licensee within

thirty (30) days after service of the notice, the commissioner shall issue

a notice of intent to deny the applicant's or licensee's application for

approval to engage in the proposed activity; or

(c) 1. Except as provided in paragraph (b) of this subsection, the

commissioner shall issue a notice of intent to deny the applicant's or

licensee's application to engage in virtual currency kiosk business at the

location, or through the agent, in this state if, after investigation, the

commissioner determines that:

a. For a proposed agent, denial is warranted under KRS 286.13 -130;

or

b. The requirements of paragraph (a)1. and 2. of this subsection are

not satisfied.

2. A notice of intent to deny an applicant's or licensee's application to

engage in virtual currency kiosk business at a location, or through an

agent, shall specify the reasons for the determination.