The Legislature finds and declares that:

(1) The United States has determined that the governments of China, Cuba, Iran, North Korea, Russia, and the Maduro Regime in Venezuela are foreign adversaries of the United States because they have engaged in long-term patterns or serious instances of conduct significantly adverse to United States national security or the security and safety of United States persons;

(2) China's effort to advance its technological capabilities poses significant threats to the United States and its citizens;

(3) China is currently operating a Military-Civil Fusion strategy with the goal of developing the most technologically advanced military in the world. A key part of this strategy is removing barriers between China's civilian sectors and its military and defense industrial sectors;

(4) China is also seeking to grow its technological dominance in international markets;

(5) To advance its missions, China has increased its efforts to collect foreign data;

(6) Under Article 7 of China's National Intelligence Law of 2017, which states in part that any organization or citizen shall support, assist, and cooperate with the state intelligence work, China may compel its citizens and companies to assist with surveillance efforts or surrender data to Chinese intelligence agencies, including data belonging to the United States or its citizens;

(7) China's collection of data is a threat to national security and the United States Department of Homeland Security and the National Counterintelligence and Security Center have both issued publications warning United States citizens and businesses of the potential threats stemming from China's intelligence laws;

(8) In November 2025, the White House produced a security memo asserting that a Chinese technology company shares its customers' data, including customers' payment records, with the Chinese government and concurrently the Pentagon sent a letter to Congress indicating intent to list that Chinese technology company as a Chinese military company;

(9) The threat of data collection by foreign adversaries is not only a national security threat but also a threat to consumers who provide data and other information to foreign adversary-based companies;

(10) Pursuant to this state's supervisory authority over financial transactions, the state has put in place a regulatory scheme for licensing money transmitters;

(11) Money transmitters provide consumers with nonbank access to sending and receiving funds, often internationally, and require access to sensitive customer data;

(12) As a part of the licensing scheme, the state looks at the character and general fitness of applicants to ensure that it is in the interest of the public to permit the applicant to engage in money transmission in the state; and

(13) Due to the risks posed by foreign adversaries to this state and its citizens, the state finds that it should not grant money transmitter licenses to companies with connections to foreign adversaries.