Does Your Noncustodial Crypto Business Need a Money Transmitter License?

Law and Ledger is a news segment focusing on crypto legal news, brought to you by Kelman Law – A law firm focused on digital asset commerce. A startup builds a wallet that lets customers sign transactions on their own devices. The company never receives their private keys. Then the product team adds recovery tools, integrated swaps, and a merchant payment feature. The founders still describe the business as noncustodial. But does that description resolve whether the company needs a money transmitter license? Not by itself. A business that only develops and distributes software may fall outside money transmission requirements.