LA Rev Stat § 6:1386 (2021)
2021 Louisiana Laws|Revised Statutes|Title 6 - Banks and Banking|§1386. Required documents; securities

RS 1386 - Required documents; securities  A.(1) Before a license is issued pursuant to the provisions of this Chapter, an applicant shall submit a surety bond in the amount of one hundred thousand dollars to the department that secures the applicant’s faithful performance of its duties pursuant to the provisions of this Chapter or in an amount the department specifies based on the nature and extent of risks in the applicant's virtual currency business model.  (2)(a) The licensee shall maintain or increase the amount of security to reflect the dollar amount of all licensed money transmission activity in this state in the preceding calendar year in accordance with the provisions of this Paragraph. A licensee may decrease its security in accordance with the provisions of this Paragraph if the security required is less than the amount of security on file with the department. Dollar Amount of Virtual Currency Activity Security Required  $0 to $5,000,000 $ 100,000  $5,000,000.01 to $10,000,000 $ 200,000  $10,000,000.01 to $15,000,000 $ 300,000  $15,000,000.01 to $20,000,000 $ 400,000  $20,000,000.01 to $25,000,000 $ 500,000  $25,000,000.01 to $30,000,000 $ 600,000  $30,000,000.01 to $35,000,000 $ 700,000  $35,000,000.01 to $40,000,000 $ 800,000  $40,000,000.01 to $45,000,000 $ 900,000  Over $45,000,000 $1,000,000  (b) Security shall be in a form satisfactory to the department and payable to the state for the benefit of any claimant against the licensee to secure the faithful performance of the obligations of the licensee with respect to money transmission.  (c) The aggregate liability on a surety bond may not exceed the principal sum of the bond. A claimant against a licensee may maintain an action on the bond, or the department may maintain an action on behalf of the claimant.  (d) A surety bond shall cover claims for as long as the department specifies, but for at least five years after the licensee ceases to provide money services in this state. However, the department may permit the amount of security to be reduced or eliminated before the expiration of that time to the extent the amount of the licensee's obligations outstanding in this state is reduced. The department may permit a licensee to substitute another form of security acceptable to the department for the security effective at the time the licensee ceases to provide money services in this state.  (e) The department may increase the amount of security required to a maximum of seven million dollars.  (3) Security deposited pursuant to this Subsection shall cover claims for the period the department specifies by rule and for an additional period the department specifies after the licensee ceases to engage in virtual currency business activity with or on behalf of a resident.  B. In addition to the security required pursuant to Subsection A of this Section, a licensee and a registrant, at the time of the application for a license pursuant to the provisions of this Chapter or filing of a registration, shall submit to the department evidence of and maintain at all times a tangible net worth of the greater of one hundred thousand dollars or three percent of total assets.  C. A licensee or registrant may include in its calculation of net worth virtual currency, measured by the average value of the virtual currency in United States dollar equivalent over the prior six months, other than the virtual currency over which it has control for a resident entitled to the protections provided in R.S. 10:8-501 et seq.  D. For good cause, the department may require a licensee or registrant to increase the net worth or reserves required under this Section. The licensee or registrant shall submit to the department evidence that it has the additional net worth or reserves not later than fifteen days after the licensee or registrant receives notice.  Acts 2020, No. 341, §1.