license and permit surety bond

Money Transmitter Bonds and Cryptocurrency Surety Bonds

Getting this surety bond is easy! Let us help you get bonded.

apply now!

Last updated: June 22, 2026

If you are applying for a money transmitter license, your state almost certainly requires a surety bond before it will let you move customer funds. The same is now true for most cryptocurrency and virtual currency businesses, which the majority of states regulate as money transmitters. The bond is the state's guarantee that you will handle other people's money honestly and follow the rules. We have been writing these bonds since 1971, and we place them in every state that requires one.

 

If you already know your state and bond amount and want to move quickly, call us at 800-333-7800 or request a free quote online. Because these are credit-sensitive bonds, the sooner we see your file, the faster we can find you the right market.

What is a money transmitter bond?

A money transmitter bond is a license and permit surety bond required of businesses that transmit money or sell payment instruments. That includes wire transfer companies, remittance and money order businesses, bill payment processors, currency exchangers, and increasingly, crypto and digital asset platforms. State regulators require the bond before issuing or renewing a money transmitter or money services business (MSB) license.

 

Like every surety bond, it involves three parties. You are the principal, the licensed business. The state regulator is the obligee, the agency protected by the bond. The surety is the company that backs the guarantee. If you violate the money transmission laws and someone suffers a loss, a claim can be filed against the bond. The surety pays valid claims up to the bond amount, and you are then obligated to repay the surety. That repayment obligation is exactly why underwriting on these bonds is rigorous, which we cover below.

 

Cryptocurrency and virtual currency businesses

This is the fastest-changing corner of the money transmission world, so it deserves its own section. Most states now treat the transmission of virtual currency as money transmission, which means crypto exchanges, Bitcoin ATM operators, wallet custodians, and digital asset platforms generally need the same license and the same surety bond as a traditional money transmitter. The Money Transmission Modernization Act (MTMA), which a majority of states have now adopted in whole or in part, is steadily standardizing these requirements, and it explicitly contemplates virtual currency activity.

 

What makes crypto bonds different is not the bond form, it is the risk. Bond amounts for crypto and virtual currency money transmitters often run higher than traditional MSBs, and in some states the regulator can scale the required amount up sharply based on transaction volume. Just as important, many crypto businesses are young companies with thin balance sheets, and that combination of high required amounts and limited financial history is what makes these bonds hard to place. We work with the surety markets that understand this space, and we will tell you honestly and early what it will take to get you approved.

How much is a money transmitter bond?

The bond amount is set by your state regulator, not by us, and it varies widely. Many states fall somewhere between $25,000 and $300,000, while others, especially for higher-volume or virtual currency operations, can require $500,000, $1,000,000, or more. Several states calculate the amount on a sliding scale tied to your transaction volume, so a growing business may see its required bond increase over time. If you are not sure what your state requires, call us and we will pull the current figure for you.

 

You do not pay the full bond amount. You pay an annual premium, which is a fraction of it, set by underwriting. Because these are financial guarantee bonds, the premium and the terms depend heavily on the strength of your application, which brings us to the part most articles skip.

Underwriting: what it actually takes to get approved

Money transmitter and crypto bonds are not instant-issue license bonds. They are underwritten as financial guarantees, because the surety is effectively vouching for your ability to safeguard customer funds. To get approved at the best terms, expect underwriters to look closely at the following:

  • Strong personal credit. Owners and principals with excellent credit get the best access and the best rates. Weak credit does not automatically disqualify you, but it narrows the market and raises the cost.
  • Solid business financials. Underwriters want to see a healthy balance sheet, real liquidity, and net worth that is proportionate to the bond amount. For larger bonds, audited or reviewed financial statements are often expected.
  • A real compliance program. A documented AML/BSA program, KYC procedures, and a clean regulatory record signal a well-run business and make approval easier.
  • Industry experience. A management team with a track record in payments, banking, or money services carries weight, particularly for crypto applicants.
  • Collateral, when needed. For startups, thinly capitalized applicants, or very large bond amounts, an underwriter may require collateral or an Irrevocable Letter of Credit. We will tell you up front if that is likely in your case.

None of this should discourage you. It is simply the reality of the product, and knowing it in advance is half the battle. Strong applicants are often approved quickly. The applicants who get frustrated are the ones who were not told what to expect. We would rather have that conversation with you on day one.

How to get your money transmitter bond

The process is straightforward once your file is assembled. Tell us your state and the bond amount the regulator has set. We send a short application and request the financial and compliance documentation the underwriter will need. We then shop your file across the surety markets that write this class, and we present you with terms. Once you accept and pay the premium, we issue the bond so you can file it with your state and complete your licensing.

 

Want the bigger picture on how digital assets are regulated and which states require a bond for crypto? Our guide on how surety bonds for cryptocurrency work walks through it in plain English.

Frequently asked questions

Do cryptocurrency businesses need a money transmitter bond?

In most states, yes. The majority of states regulate the transmission of virtual currency as money transmission, so crypto exchanges, Bitcoin ATM operators, and similar businesses generally need the same license and surety bond as a traditional money transmitter. The exact rule and amount depend on your state.

How much does a money transmitter bond cost?

You pay an annual premium that is a fraction of the bond amount, set by underwriting. Because these are financial guarantee bonds, the premium depends heavily on your credit and financials. Call 800-333-7800 for a free quote based on your specific situation.

Why is the underwriting so strict?

Because the bond guarantees you will safeguard customer funds, the surety is taking real financial risk. Underwriters look for strong personal credit, solid business financials, a real compliance program, and industry experience. Larger or higher-risk bonds may require collateral.

Can a startup or a business with weak credit get bonded?

Often, yes, but the terms differ. Weaker credit or a thin balance sheet usually means a higher rate or a collateral requirement. We work with multiple markets and will tell you honestly what your options are before you apply.

How long does it take to get the bond?

For strong applicants with a complete file, it can move quickly. Larger bonds and crypto applicants typically take longer because of the financial review. Getting us your documentation early is the single best way to speed things up.

Get your money transmitter or crypto bond

Whether you are launching a remittance business, renewing an MSB license, or standing up a crypto platform, the bond should not be the thing that holds you back. Surety Bond Authority has been placing license and financial guarantee bonds since 1971, and we work with every major surety market in the country. Call us at 800-333-7800 or contact us today, and we will get to work on your file.

Guide: Jump to What You Need

    Money transmitter bonds by State

    We write these bonds nationwide. Find your state below to see the specific requirement, the governing agency, and how to apply. If your state uses a different name for the bond, such as a money services business bond, seller of checks bond, or check sellers bond, it is listed under the same state.

    A–D

    E–I

    K–M

    N–O

    P–S

    T–W