Application of Money Services Business regulations to the rental of computer systems for mining virtual currency Summary

Updated 12/27/2021

This tool summarizes FinCEN’s ruling regarding a company that developed a computer system that mines cryptocurrencies. It will rent these computer systems to third parties, allowing the third party to mine virtual currencies. While the third party provides the company information about the mining pool to enter into the system, all of the virtual currency mined by the third party remains with the third party. The following are the key takeaways of the ruling:

1. FinCEN regulations indicate that whether a person is a money transmitter is a matter of facts and circumstances.

2. The rental of computer systems to third parties is not an activity covered by FinCEN regulation.

3. The regulations specifically exempt from “money transmitter” status a person that only provides the delivery, communication, or network data access services used by a money transmitter to supply money transmission services.

Members Can Download This Tool

Login to Download


Not Yet a Member?

Our members enjoy:

On-demand regulatory guidance hotline – by chat, phone and email – available from anywhere, on any device – 7 am - 6 pm, M-F, Central time 

Research time saved daily & weekly across forms, checklists, and trainings — for every regulation

Hours of form-building and branding of bank documents saved; in some cases, even the budget of additional staff

A sounding board for support and reassessment when institutional goals or the regulatory environment changes

Access to attorneys and compliance specialists for risk modelling and decision-making in advance of large business decisions

The knowledge that C/A was created and owned by 30 State Bankers Association to provide bank compliance services to their membership organizations

Find out how a personalized team of attorneys and compliance professionals helps build targeted compliance strategies throughout your institution when you take our Live Membership Demo.

Become a Member