An Act amending the act of September 2, 1965 (P.L.490, No.249), referred to as the Money Transmission Business Licensing Law, further providing for title of act and for definitions; providing for short title; and further providing for license required, for exemptions, for qualifications for a license, for fee, financial statement and security, for liability of licensees, for licensee requirements and for agents.

HB 881 updates Pennsylvania's 1965 Money Transmission Business Licensing Law to include virtual currency under the same regulatory framework as traditional money transmission. The bill requires businesses transmitting virtual currency (e.g., cryptocurrency) for a fee to obtain a license from the Department of Banking and Securities, similar to existing rules for money orders or checks. Key provisions define "virtual currency," clarify that self-hosted wallets (where users control their own digital assets) are exempt from licensing, and exclude business-to-business transactions from requirements. This directly affects crypto service providers and payment platforms, while exempting regular banks, credit unions, and personal wallet users who don’t operate as service businesses.