{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/6.2-818.1.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/6.2-818.1.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/6.2-818.1.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/6.2-818.1.html"}],"law_id":60477,"edition_id":1,"section_id":60477,"structure_id":15203,"section_number":"6.2-818.1","catch_line":"Virtual currency custody services by banks","history":"2022, c. 623.","full_text":"A\n\nAs used in this section, unless the context requires a different meaning:\n\t\t\t“Bank” has the same meaning as provided in § 6.2-800.\n\t\t\t“Custody services” means the role of a bank in the safekeeping and custody of various customer assets.\n\t\t\t“Self-assessment” has the same meaning as provided in § 6.2-947.\n\t\t\t“Virtual currency” means an electronic representation of value intended to be used as a medium of exchange, unit of account, or store of value. “Virtual currency” does not exist in a physical form; it is intangible and exists only on the blockchain or distributed ledger associated with a particular virtual currency. The owner of virtual currency holds cryptographic keys associated with the specific unit of virtual currency in a digital wallet, which allows the rightful owner of the virtual currency to access and utilize it.B\n\nA bank may provide its customers with virtual currency custody services so long as the bank has adequate protocols in place to effectively manage risks and comply with applicable laws. Prior to a bank offering virtual currency custody services, the bank shall carefully examine the risks involved in offering such services through a methodical self-assessment process. If the bank decides to move forward with offering such services, the bank shall:1\n\nImplement effective risk management systems and controls to measure, monitor, and control relevant risks associated with custody of digital assets such as virtual currency;2\n\nConfirm that it has adequate insurance coverage for such services; and3\n\nMaintain a service provider oversight program, to the extent that the bank engages with a service provider to provide virtual currency custody services, to address risks to service provider relationships as a result of engaging in virtual currency custody services.C\n\nA bank may provide virtual currency custody services in either a nonfiduciary or fiduciary capacity.\n\t\t\tIn providing such services in a nonfiduciary capacity, the bank shall act as a bailee, taking possession of the customer’s asset for safekeeping while legal title remains with the customer, meaning that the customer retains direct control over the keys associated with their virtual currency.\n\t\t\tIn providing such services in a fiduciary capacity, a bank is required to possess trust powers as described in § 6.2-819 and have a trust department pursuant to § 6.2-821. Acting in a fiduciary capacity, the bank shall require customers to transfer their virtual currencies to the control of the bank by creating new private keys to be held by the bank. In its fiduciary capacity, a bank shall have authority to manage virtual currency assets as it would any other type of asset held in such capacity.","order_by":null,"text":{"0":{"id":221116,"text":"As used in this section, unless the context requires a different meaning:\n\t\t\t“Bank” has the same meaning as provided in § 6.2-800.\n\t\t\t“Custody services” means the role of a bank in the safekeeping and custody of various customer assets.\n\t\t\t“Self-assessment” has the same meaning as provided in § 6.2-947.\n\t\t\t“Virtual currency” means an electronic representation of value intended to be used as a medium of exchange, unit of account, or store of value. “Virtual currency” does not exist in a physical form; it is intangible and exists only on the blockchain or distributed ledger associated with a particular virtual currency. The owner of virtual currency holds cryptographic keys associated with the specific unit of virtual currency in a digital wallet, which allows the rightful owner of the virtual currency to access and utilize it.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":221117,"text":"A bank may provide its customers with virtual currency custody services so long as the bank has adequate protocols in place to effectively manage risks and comply with applicable laws. Prior to a bank offering virtual currency custody services, the bank shall carefully examine the risks involved in offering such services through a methodical self-assessment process. If the bank decides to move forward with offering such services, the bank shall:","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"B1"},"2":{"id":221118,"text":"Implement effective risk management systems and controls to measure, monitor, and control relevant risks associated with custody of digital assets such as virtual currency;","type":"section","prefixes":["B","1"],"prefix":"1","entire_prefix":"B1","prefix_anchor":"B1","level":2,"prior_prefix":"B","next_prefix":"B2"},"3":{"id":221119,"text":"Confirm that it has adequate insurance coverage for such services; and","type":"section","prefixes":["B","2"],"prefix":"2","entire_prefix":"B2","prefix_anchor":"B2","level":2,"prior_prefix":"B1","next_prefix":"B3"},"4":{"id":221120,"text":"Maintain a service provider oversight program, to the extent that the bank engages with a service provider to provide virtual currency custody services, to address risks to service provider relationships as a result of engaging in virtual currency custody services.","type":"section","prefixes":["B","3"],"prefix":"3","entire_prefix":"B3","prefix_anchor":"B3","level":2,"prior_prefix":"B2","next_prefix":"C"},"5":{"id":221121,"text":"A bank may provide virtual currency custody services in either a nonfiduciary or fiduciary capacity.\n\t\t\tIn providing such services in a nonfiduciary capacity, the bank shall act as a bailee, taking possession of the customer’s asset for safekeeping while legal title remains with the customer, meaning that the customer retains direct control over the keys associated with their virtual currency.\n\t\t\tIn providing such services in a fiduciary capacity, a bank is required to possess trust powers as described in § 6.2-819 and have a trust department pursuant to § 6.2-821. Acting in a fiduciary capacity, the bank shall require customers to transfer their virtual currencies to the control of the bank by creating new private keys to be held by the bank. In its fiduciary capacity, a bank shall have authority to manage virtual currency assets as it would any other type of asset held in such capacity.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B3"}},"ancestry":[{"id":15203,"edition_id":1,"name":"Incorporation and Powers","identifier":"2","label":"article","depth":4,"order_by":1,"parent_id":13791,"metadata":{},"date_created":"2026-06-26 03:52:57","date_modified":"2026-06-26 03:52:57","permalink":{"id":265377,"object_type":"structure","relational_id":15203,"identifier":"2","token":"6.2\/II\/8\/2","url":"\/6.2\/II\/8\/2\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13791,"edition_id":1,"name":"Banks","identifier":"8","label":"chapter","depth":3,"order_by":1,"parent_id":13000,"metadata":{},"date_created":"2026-06-26 03:45:53","date_modified":"2026-06-26 03:45:53","permalink":{"id":265065,"object_type":"structure","relational_id":13791,"identifier":"8","token":"6.2\/II\/8","url":"\/6.2\/II\/8\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13000,"edition_id":1,"name":"Depository Institutions and Trust Organizations","identifier":"II","label":"subtitle","depth":2,"order_by":1,"parent_id":12852,"metadata":{},"date_created":"2026-06-26 03:44:07","date_modified":"2026-06-26 03:44:07","permalink":{"id":263685,"object_type":"structure","relational_id":13000,"identifier":"II","token":"6.2\/II","url":"\/6.2\/II\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12852,"edition_id":1,"name":"Financial Institutions and Services","identifier":"6.2","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:56","date_modified":"2026-06-26 03:43:56","permalink":{"id":263249,"object_type":"structure","relational_id":12852,"identifier":"6.2","token":"6.2","url":"\/6.2\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":57883,"structure_id":15203,"section_number":"6.2-808","catch_line":"Incorporation; corporate powers","url":"\/6.2-808\/","token":"6.2\/II\/8\/2\/6.2-808","metadata":false},{"id":64462,"structure_id":15203,"section_number":"6.2-809","catch_line":"Bankers' banks","url":"\/6.2-809\/","token":"6.2\/II\/8\/2\/6.2-809","metadata":false},{"id":66337,"structure_id":15203,"section_number":"6.2-810","catch_line":"Effect of chapter on charter powers","url":"\/6.2-810\/","token":"6.2\/II\/8\/2\/6.2-810","metadata":false},{"id":71469,"structure_id":15203,"section_number":"6.2-811","catch_line":"Membership in Federal Reserve Bank System or Federal Home Loan Bank System","url":"\/6.2-811\/","token":"6.2\/II\/8\/2\/6.2-811","metadata":false},{"id":61874,"structure_id":15203,"section_number":"6.2-812","catch_line":"Inspection of records, reports, and information of insured banks","url":"\/6.2-812\/","token":"6.2\/II\/8\/2\/6.2-812","metadata":false},{"id":61122,"structure_id":15203,"section_number":"6.2-813","catch_line":"Participation by banks in school thrift or savings plans","url":"\/6.2-813\/","token":"6.2\/II\/8\/2\/6.2-813","metadata":false},{"id":78611,"structure_id":15203,"section_number":"6.2-814","catch_line":"Powers of banks","url":"\/6.2-814\/","token":"6.2\/II\/8\/2\/6.2-814","metadata":false},{"id":70892,"structure_id":15203,"section_number":"6.2-815","catch_line":"Suspension of business during emergency","url":"\/6.2-815\/","token":"6.2\/II\/8\/2\/6.2-815","metadata":false},{"id":72786,"structure_id":15203,"section_number":"6.2-816","catch_line":"Banks to obtain certificate of authority","url":"\/6.2-816\/","token":"6.2\/II\/8\/2\/6.2-816","metadata":false},{"id":77490,"structure_id":15203,"section_number":"6.2-817","catch_line":"Capital stock subscriptions","url":"\/6.2-817\/","token":"6.2\/II\/8\/2\/6.2-817","metadata":false},{"id":70515,"structure_id":15203,"section_number":"6.2-818","catch_line":"Repealed","url":"\/6.2-818\/","token":"6.2\/II\/8\/2\/6.2-818","metadata":false},{"id":60477,"structure_id":15203,"section_number":"6.2-818.1","catch_line":"Virtual currency custody services by banks","url":"\/6.2-818.1\/","token":"6.2\/II\/8\/2\/6.2-818.1","metadata":false}],"previous_section":{"id":70515,"structure_id":15203,"section_number":"6.2-818","catch_line":"Repealed","url":"\/6.2-818\/","token":"6.2\/II\/8\/2\/6.2-818","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/6.2-818.1\/","history_text":"

This law was first created in 2022. The record of its establishment is cataloged in chapter 623<\/a> of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year.<\/p>","references":false,"refers_to":[{"id":86656,"section_number":"6.2-800","catch_line":"Definitions","order_by":null,"url":"\/6.2-800\/"},{"id":85620,"section_number":"6.2-819","catch_line":"Authority to engage in trust business; permission of Commission required","order_by":null,"url":"\/6.2-819\/"},{"id":62734,"section_number":"6.2-821","catch_line":"Separation of banking and trust functions; establishment of trust department","order_by":null,"url":"\/6.2-821\/"},{"id":83828,"section_number":"6.2-947","catch_line":"Definitions","order_by":null,"url":"\/6.2-947\/"}],"permalink":{"id":265423,"object_type":"law","relational_id":60477,"identifier":"6.2-818.1","token":"6.2\/II\/8\/2\/6.2-818.1","url":"\/6.2-818.1\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/6.2-818.1\/","token":"6.2\/II\/8\/2\/6.2-818.1","dublin_core":{"Title":"Virtual currency custody services by banks","Type":"Text","Format":"text\/html","Identifier":"\u00a7 6.2-818.1","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> As used in this section, unless the context requires a different meaning:\n\t\t\t“Bank<\/span>” has the same meaning as provided in § 6.2-800<\/a>.\n\t\t\t“Custody services<\/span>” means the role of a bank<\/span> in the safekeeping and custody of various customer assets<\/span>.\n\t\t\t“Self-assessment<\/span>” has the same meaning as provided in § 6.2-947<\/a>.\n\t\t\t“Virtual currency<\/span>” means an electronic representation of value intended to be used as a medium of exchange, unit of account, or store of value. “Virtual currency<\/span>” does not exist in a physical form; it is intangible and exists only on the blockchain or distributed ledger associated with a particular virtual currency<\/span>. The owner of virtual currency<\/span> holds cryptographic keys associated with the specific unit of virtual currency<\/span> in a digital wallet, which allows the rightful owner of the virtual currency<\/span> to access and utilize it. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> A bank<\/span> may provide its customers with virtual currency<\/span> custody services<\/span> so long as the bank<\/span> has adequate protocols in place to effectively manage risks and comply with applicable laws<\/span>. Prior to a bank<\/span> offering virtual currency<\/span> custody services<\/span>, the bank<\/span> shall carefully examine the risks involved in offering such services through a methodical self-assessment<\/span> process. If the bank<\/span> decides to move forward with offering such services, the bank<\/span> shall: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> Implement effective risk management systems and controls to measure, monitor, and control relevant risks associated with custody of digital assets<\/span> such as virtual currency<\/span>; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> Confirm that it has adequate insurance coverage for such services; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> Maintain a service provider oversight program, to the extent that the bank<\/span> engages with a service provider to provide virtual currency<\/span> custody services<\/span>, to address risks to service provider relationships as a result of engaging in virtual currency<\/span> custody services<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> A bank<\/span> may provide virtual currency<\/span> custody services<\/span> in either a nonfiduciary or fiduciary capacity.\n\t\t\tIn providing such services in a nonfiduciary capacity, the bank<\/span> shall act as a bailee, taking possession<\/span> of the customer’s asset for safekeeping while legal title remains with the customer, meaning that the customer retains direct control over the keys associated with their virtual currency<\/span>.\n\t\t\tIn providing such services in a fiduciary capacity, a bank<\/span> is required to possess trust powers as described in § 6.2-819<\/a> and have a trust department pursuant to § 6.2-821<\/a>. Acting in a fiduciary capacity, the bank<\/span> shall require customers to transfer their virtual currencies to the control of the bank<\/span> by creating new private keys to be held by the bank<\/span>. In its fiduciary capacity, a bank<\/span> shall have authority to manage virtual currency<\/span> assets<\/span> as it would any other type of asset held in such capacity. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nVIRTUAL CURRENCY CUSTODY SERVICES BY BANKS (\u00a7 6.2-818.1)\n\nA. As used in this section, unless the context requires a different meaning:\n\t\t\t“Bank” has the same meaning as provided in § 6.2-800.\n\t\t\t“Custody services” means the role of a bank in the safekeeping\nand custody of various customer assets.\n\t\t\t“Self-assessment” has the same meaning as provided in §\n6.2-947.\n\t\t\t“Virtual currency” means an electronic representation of value\nintended to be used as a medium of exchange, unit of account, or store of value.\n“Virtual currency” does not exist in a physical form; it is\nintangible and exists only on the blockchain or distributed ledger associated\nwith a particular virtual currency. The owner of virtual currency holds\ncryptographic keys associated with the specific unit of virtual currency in a\ndigital wallet, which allows the rightful owner of the virtual currency to\naccess and utilize it.\n\nB. A bank may provide its customers with virtual currency custody services so\nlong as the bank has adequate protocols in place to effectively manage risks and\ncomply with applicable laws. Prior to a bank offering virtual currency custody\nservices, the bank shall carefully examine the risks involved in offering such\nservices through a methodical self-assessment process. If the bank decides to\nmove forward with offering such services, the bank shall:\n\n 1. Implement effective risk management systems and controls to measure,\n monitor, and control relevant risks associated with custody of digital assets\n such as virtual currency;\n\n 2. Confirm that it has adequate insurance coverage for such services; and\n\n 3. Maintain a service provider oversight program, to the extent that the bank\n engages with a service provider to provide virtual currency custody services,\n to address risks to service provider relationships as a result of engaging in\n virtual currency custody services.\n\nC. A bank may provide virtual currency custody services in either a nonfiduciary\nor fiduciary capacity.\n\t\t\tIn providing such services in a nonfiduciary capacity, the bank shall act as\na bailee, taking possession of the customer’s asset for safekeeping while\nlegal title remains with the customer, meaning that the customer retains direct\ncontrol over the keys associated with their virtual currency.\n\t\t\tIn providing such services in a fiduciary capacity, a bank is required to\npossess trust powers as described in § 6.2-819 and have a trust department\npursuant to § 6.2-821. Acting in a fiduciary capacity, the bank shall\nrequire customers to transfer their virtual currencies to the control of the\nbank by creating new private keys to be held by the bank. In its fiduciary\ncapacity, a bank shall have authority to manage virtual currency assets as it\nwould any other type of asset held in such capacity.\n\nHISTORY: 2022, c. 623.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}