On April 13, the Tennessee governor signed into law a bill that, effective July 1, prohibits the installation and operation of virtual currency kiosks in the state. The law amends the Tennessee Code to add a new part defining key terms, including “virtual currency kiosk” as an electronic terminal that facilitates the exchange of virtual currency for money, bank credit, or other virtual currency. The law defines “virtual currency kiosk operator” as a person that: (i) engages in virtual currency business activity via an electronic terminal located in the state, or who owns, operates or manages such a terminal; (ii) knowingly permits the use or installation of a kiosk on property the person owns, leases, or controls; or (iii) owns a kiosk located or operated in the state. Under the law, it is a Class A misdemeanor for a virtual currency kiosk operator or other person to knowingly install, allow the installation of, permit, place, or otherwise operate a virtual currency kiosk in Tennessee.