The most common financial licenses in the United States are: MSB, MTL, NFA, SEC Investment Advisors, and SEC filings. Below are detailed definitions and regulatory requirements!
MSB (Money Services Business) license:
The MSB license in the United States is a type of financial license regulated and issued by the Financial Crimes Enforcement Network (FinCEN), an agency under the U.S. Department of the Treasury. It is equivalent to an operating license and is one of the important compliance documents for blockchain project exchanges.
The main regulated subjects are businesses and companies related to money services, including foreign exchange, international remittances, currency trading/transfers (including cryptocurrency/virtual currency), ICO issuance, providing prepaid projects, issuing traveler's checks, and other services.MTL (Money Transmitter License) license:
The MTL license, or Money Transmitter License, is a statutory requirement imposed by U.S. states on entities engaged in money transmission and related financial service activities. It aims to ensure the stability of financial markets and the protection of consumer rights.
Including bill payments, transporting money, etc.NFA (National Futures Association) license:
The National Futures Association (NFA) is a self-regulatory organization for the futures and forex markets in the United States. Its responsibilities include regulating trading activities in futures, forex, and other derivative markets, ensuring market transparency and fairness. The NFA license is a certification issued by the NFA to futures and forex traders, commodity trading advisors (CTAs), and commodity pool operators (CPOs) that meet its regulatory requirements, and it is a necessary condition for entering the U.S. futures and forex markets.SEC Investment Advisor:
According to the U.S. Investment Advisers Act, an investment advisor refers to a person engaged in business activities that provide advice on the value of securities or investment, buying, and selling opinions for compensation. The SEC has exclusive jurisdiction over investment advisors managing above a certain asset size, while smaller fund management institutions below that size are registered in each state so that the SEC can focus its regulatory resources on larger, significant regulatory subjects.SEC Filing:
SEC filing in the United States refers to filing with the U.S. Securities and Exchange Commission (SEC), typically because the nature of the security token offering (STO) in the U.S. falls under securities, and its issuance is regulated by the SEC.
Compliance filing Regulation D materials: including detailed business plans for projects, audit reports on assets, U.S. entity companies, etc.