Looking For a US-Compliant Crypto Payment Processor? Here Are 10 Things You Should Know About MSB and MTL Licensing

Crypto payments are exploding. But in the US? Compliance is a minefield.

Most processors dodge it. Some operate illegally. Others just avoid the US entirely.

Not Larecoin.

We're building the most compliant, transparent, and innovative Web3 payment solution on the market. And if you're serious about accepting crypto in the US, you need to understand what separates legitimate operations from regulatory disasters waiting to happen.

Here are 10 things every business owner needs to know about MSB and MTL licensing, and why Larecoin's approach puts competitors like NOWPayments and CoinPayments in the rearview mirror.

---

1. MSB Registration Isn't Optional, It's Mandatory

Every crypto payment processor operating in the US must register with FinCEN as a Money Services Business (MSB).

No exceptions. No workarounds.

This is federal law. If your processor isn't registered? They're operating illegally. Period.

Larecoin maintains active MSB registration. We publish our compliance documentation openly. Because transparency isn't a marketing gimmick, it's how legitimate businesses operate.

---

2. 49 States Require Individual Money Transmitter Licenses

Here's where it gets complicated.

Federal registration is just the starting point. Every state except Montana requires its own Money Transmitter License (MTL). That's 49 separate applications. 49 different requirements. 49 regulatory relationships to maintain.

Most processors? They skip states. Or worse, they operate without proper licensing.

Larecoin's strategy: aggressive multi-state licensing pursuit. We're not cutting corners.

---

3. Surety Bonds Range From $25,000 to $7,000,000

States don't just want paperwork. They want financial guarantees.

Surety bond requirements vary wildly:

• Some states: $25,000

• Others: $7,000,000+

This isn't pocket change. It's a massive capital commitment that separates serious players from pretenders.

When you compare processors, ask yourself: Can they actually meet these financial requirements? Larecoin can.

---

4. Licensing Takes 3 Months to Over a Year Per State

Speed matters in crypto. But compliance doesn't happen overnight.

Each state has its own timeline:

• Processing times: 3 months to 18+ months

• Capital minimums: Varies by jurisdiction

• Ongoing reporting requirements: Continuous

This is why most processors avoid the US entirely. The barrier to entry is enormous.

Larecoin has been building our compliance infrastructure from day one. It's not an afterthought, it's foundational.

---

5. Multi-Jurisdiction Licensing Separates Legit From Illegal

Red flag alert: Any processor claiming to serve the entire US without licenses in key states is operating illegally.

It's that simple.

CoinPayments and NOWPayments both have limited US coverage. Check their fine print. Verify their state-by-state licensing status.

With Larecoin, we're transparent about our licensing journey and active coverage areas. No hidden restrictions. No surprise compliance gaps.

---

6. Most Crypto Processors Avoid the US Entirely

The regulatory complexity scares off the majority of players.

Here's the reality:

• NOWPayments: Limited US functionality

• CoinPayments: Restricted services in certain states

• Most others: US customers? Sorry, not supported.

Larecoin is built differently. We're not running from US compliance: we're running toward it. Because the US market is too important to abandon.

---

7. AML/CFT Programs Are Non-Negotiable

Compliance isn't a one-time checkbox. It's an ongoing operational requirement.

Every legitimate processor must maintain:

• AML programs (Anti-Money Laundering)

• CFT protocols (Countering the Financing of Terrorism)

• KYC procedures (Know Your Customer)

• SAR submissions (Suspicious Activity Reports)

These aren't optional add-ons. They're the cost of doing business legally.

Larecoin's compliance infrastructure handles all of this behind the scenes: so you can focus on growing your business, not navigating regulatory requirements.

---

8. The Travel Rule Applies to Transactions Over $3,000

For transactions of $3,000 or more, processors must collect and transmit personally identifiable information:

• Originator name and address

• Financial institution details

• Full transaction data

This applies to both domestic and international transfers. It's still in effect through 2025 and beyond.

Larecoin's systems are built for Travel Rule compliance from the ground up. No retrofitting. No gaps.

---

9. Always Verify MSB Registration and State Licenses Directly

Don't take anyone's word for it: including ours.

Request proof of:

• FinCEN registration

• Current state licensing documentation

• Compliance certifications

Legitimate processors publish this information openly. If they won't share it? Walk away.

Visit Larecoin's compliance documentation to see our approach firsthand.

---

10. Self-Custody Models Reduce Counterparty Risk

This is where Larecoin truly separates from the pack.

Traditional processors hold your funds. That creates counterparty risk. If they go bankrupt? Your money's at risk. If they get hacked? Your money's at risk.

Larecoin's self-custody model:

• Funds route directly to your wallet

• No intermediary holding periods

• You maintain complete control

This isn't just better security: it's better regulatory clarity. Self-custody eliminates entire categories of compliance risk.

---

Why Larecoin Outperforms NOWPayments and CoinPayments

Let's get specific.

Fee Savings

Most processors charge 1-2% per transaction. Some add hidden conversion fees on top.

Larecoin's fee structure is transparent and competitive. Lower fees mean more revenue stays in your pocket.

NFT Receipts

Every Larecoin transaction generates an NFT receipt. Immutable proof of payment. On-chain verification. Perfect for accounting, audits, and dispute resolution.

Neither NOWPayments nor CoinPayments offers this.

LUSD Benefits

Our stablecoin, LUSD, eliminates volatility concerns while maintaining all the benefits of crypto payments:

• Instant settlement

• Minimal transaction fees

• Gas-only transfers

• Cross-border capability

Self-Custody by Default

As mentioned: Your funds go directly to your wallet. No intermediary risk. No waiting for withdrawals. No trust required.

---

The Compliance Advantage

Here's the bottom line.

US compliance isn't just about avoiding legal trouble: it's a competitive advantage.

Businesses want to work with processors they can trust. Customers want to know their transactions are legitimate. Regulators want to see good-faith compliance efforts.

Larecoin delivers on all three.

Our MSB registration is active. Our state MTL strategy is aggressive and transparent. Our AML/KYC infrastructure is enterprise-grade.

When CoinPayments restricts your state, when NOWPayments limits your functionality, Larecoin is building the infrastructure to serve the entire US market.

---

What This Means For Your Business

If you're accepting crypto payments in the US, compliance isn't optional. It's existential.

Choose a processor without proper licensing? You're exposing your business to regulatory enforcement, frozen funds, and potential legal liability.

Choose Larecoin? You're partnering with a processor that takes compliance as seriously as innovation.

The Larecoin difference:

• Active MSB registration

• Multi-state MTL pursuit

• Self-custody model

• NFT receipts for every transaction

• LUSD stablecoin integration

• Transparent fee structure

• Enterprise-grade AML/KYC

---

Ready to Accept Compliant Crypto Payments?

Stop gambling with non-compliant processors. Stop leaving money on the table with excessive fees. Stop trusting third parties with your funds.

Larecoin is the Web3 payment solution built for the US market; with the compliance infrastructure to prove it.

Get started at larecoin.com

Questions? Hit up our blog for more insights on crypto payments, compliance, and the future of Web3 commerce.

The future of payments is decentralized, compliant, and powered by Larecoin.