Nevada Deals a Blow to Bitcoin Casinos through Money Transmitter Regulations; US Gamblers as Happy as Ever

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Since their failure to pass the cryptocurrency law just a few months back, Nevada authorities have been more anxious than ever to gain control of these businesses. The land known for one of the world’s greatest gambling oases, Las Vegas, has been experiencing difficulties thanks to the rising number of crypto operators. In an attempt to deter their success, Nevada deals the first blow to no other than Bitcoin kiosks and ATMs.

Nevada Vs. Bitcoin ATMs – How It Went Down?

Nevada has been trying to pass the cryptocurrency law they have in store for quite some time now. Their latest failed attempt was just a few months ago, by the end of the legislative session held in May.

Thus, authorities have been looking for a way to deter the growing Bitcoin gambling and transactions industry.  They have been hurting the state’s economy for quite some time, with no other than revenue taxes on their list of charges. Since Nevada figured there is no stopping the constantly incoming Bitcoin casino train, they were going to shake casino providers from another aspect.

As BitAML’s Senior Advisor Annelise Strader informed the public, Nevada’s change of interpretation as to what qualifies as a money transmitter changed abruptly. Now including Bitcoin kiosks and ATMs, this regulation aims to profit from license fees and surety bonds required for proper operations.

State regulator Julie Hanivold of the Nevada Division of Financial Institution informed the public about it, claiming that they will wait for the cryptocurrency bill to pass before taking any actions. In what is presented as an act of good will, the entirety of the new regulations is available from the official website for businesses to read and comply with beforehand.

Nevertheless, even with the bill still seemingly far from turning into law, Nevada’s team of regulators have already set up the new provisions. In the basis of it all is the new interpretation of Bitcoin kiosks and ATMs as money transmitters, and thus requiring a state license like any other ATM. In this line of thought, operators will be charged $5,000 for a license per location, as well as an upfront surety bond of $10,000. According to legislators working on the case, this will be maxed out at $250,000. As for the need for such bond, they put forward plans for an emergency fund as an explanation, protecting players against business failures and the likes.

Compliance with the new regulations is at a standstill. Nonetheless, it is evident it will have an effect on consultancy firms such as BitAML, as well as on operators who will fail to adopt the new regulations on good will terms.

US Bitcoin Gambling Stronger than Ever

With so many attempts to sabotage the freedom US players finally got through Bitcoin and crypto, stopping them and their operators is harder than ever. The gambling industry is growing and developing at a steady pace, with new and exciting gambling content added to the top US crypto casinos such as Vegas Casino or Bovada.

The latest gambling offering includes flagship titles from reputable software providers, and live casinos to match the action of the land-based casino floors, making them feel all the more endangered.

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August 21, 2019: • No Comments

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