Colorado § 11-112-102 - Definitions.

§ 11-112-102. Definitions.

As used in this article 112, unless the context otherwise requires:

(1) "Blockchain technology" has the meaning set forth in section 24-36-121.5 (2)(a).

(2) (a) "New customer" means a customer transacting at a virtual currency kiosk in Colorado who has been a customer of an owner or operator of a virtual currency kiosk for less than seven days.

(b) Seven days after a customer first transacts with an owner or operator of a virtual currency kiosk, the customer is considered an existing customer and is not subject to the new customer transaction limit described in section 11-112-103 (6).

(3) "Transaction hash" means a unique identifier made up of a string of characters that acts as a record and provides proof that a transaction was verified and added to blockchain technology.

(4) (a) "Virtual currency" means a type of digital unit that is used as a medium of exchange or a form of digitally stored value or that is incorporated into payment system technology.

(b) "Virtual currency" includes digital units that:

(I) Have a centralized repository or administrator;

(II) Are decentralized and have no centralized repository or administrator; or

(III) May be created or obtained by computing or manufacturing effort.

(c) "Virtual currency" does not include digital units that:

(I) Are used solely within online gaming platforms, with no market or application outside the gaming platforms;

(II) Are used exclusively as part of a consumer affinity or rewards program and can be applied as payment for purchases with the issuer or other designated merchants but cannot be converted into or redeemed for fiat currency; or

(III) Are used as part of a consumer affinity or rewards program offered through an institution that is insured by the federal deposit insurance corporation or the national credit union administration.

(5) "Virtual currency address" means an alphanumeric identifier representing a destination for a virtual currency transfer that is associated with a virtual currency wallet.

(6) "Virtual currency kiosk" means an electronic terminal acting as a mechanical agent of the owner or operator to enable the owner or operator to facilitate the exchange of virtual currency for other virtual currency or fiat currency, including by:

(a) Connecting to a separate virtual currency exchanger that performs the actual virtual currency transmission; or

(b) Drawing upon the virtual currency in the possession of the owner or operator of the electronic terminal.

(7) "Virtual currency wallet" means a software application or other mechanism providing a means for holding, storing, and transferring virtual currency.

Source: L. 2025: Entire article added, (SB 25-079), ch. 341, p. 1844, § 1, effective January 1, 2026.