We are committed to complying with all applicable U.S. federal, state and local laws and regulations (collectively, “U.S. Laws”) and have made a significant investment to build a world-class compliance and consumer protection program. We continuously monitor U.S. Laws to see whether any jurisdictions have changed their stance with respect to virtual currencies generally, and, in particular, whether such virtual currencies fall within the scope of their respective money transmission or similar laws.
In our opinion, while certain states have publicly taken a position that certain transactions relating to virtual currencies presently constitute, or in the near future, may constitute regulated activities under their respective laws, other states are currently not regulating virtual currencies at this time with respect to the business we operate. We are of the opinion that the following states fall within this latter category: California, Illinois, Indiana, Massachusetts, Missouri, Montana, New Mexico, Oregon, South Carolina, and Texas. We will apply for applicable permits and licenses that may be required in all other states prior to commencing operations therein.