Minnesota to Resume Bullion Dealer Registrations Following Court Order in Civil Rights Lawsuit
The Minnesota Department of Commerce has announced it will resume registration of bullion-product dealers and dealer representatives under Minnesota Statutes Chapter 80G, beginning Wednesday, July 23. This follows direction from federal courts in the case of Thomas John Styczinski, et al. v. Grace Arnold, Commissioner of the Minnesota Department of Commerce, which challenged the constitutionality of the state’s 2013 bullion-dealer law.
This development marks a significant shift in the state’s regulatory posture since September 2022, when the department paused all enforcement and licensing activity under Chapter 80G. Now, after nearly three years of regulatory limbo, the department will resume processing applications, now using Sircon, a new licensing system administered by Vertafore. Licensee data from the previous PULSE system will be carried over to the new platform.
With the three-year stay, all existing dealer registrations under the law have lapsed and dealers and dealer representatives must now reregister. To support dealers and representatives in navigating the updated process, Vertafore is hosting a webinar on July 22 at 10:00 a.m. Central Time, demonstrating how to apply for or renew a license under the revised procedure.
The litigation that led to this court direction was initiated in 2020 by small business owners and hobbyist coin dealers arguing that Minnesota’s bullion dealer law imposed unconstitutional burdens on interstate commerce and individual rights. The law criminalized any bullion-related transactions annually exceeding $25,000 without a license and surety bond—affecting everyone from casual investors to IRA holders and ancient coin collectors.
Plaintiff Tom Styczinski, who operates Tom “The Coin Guy,” LLC, and co-plaintiffs Treasure Island Coins, Inc. and Numismatist United Legal Defense, claimed that the law discriminated against coin and bullion collectors while leaving other collectibles—such as art, stamps, and sports cards—unregulated. They also highlighted how the law drove away national dealers, isolated Minnesota buyers and sellers, and created monopolistic advantages for the large telemarketers who helped craft the legislation.
In August 2022, the US Court of Appeals for the Eighth Circuit ruled in favor of the plaintiffs. While the court did not immediately strike down the law, its direction effectively halted enforcement at the time.
Although the National Coin & Bullion Association (NCBA) is not a named plaintiff in the lawsuit, we have long opposed Minnesota’s 2013 law. NCBA previously spent two years working with the Department of Commerce to reform the statute but ultimately determined that litigation—rather than further negotiation—was the most promising path forward. We continue to support a full repeal or federal preemption of Minnesota’s bullion dealer law.
NCBA members and industry stakeholders are encouraged to monitor developments closely and ensure they are prepared to comply with the renewed registration requirements—even as we continue advocating for fairer and more practical regulation for bullion and numismatic dealers in Minnesota and across the country. To get involved in NCBA’s advocacy efforts, email ncba@ncbassoc.org.
This development marks a significant shift in the state’s regulatory posture since September 2022, when the department paused all enforcement and licensing activity under Chapter 80G. Now, after nearly three years of regulatory limbo, the department will resume processing applications, now using Sircon, a new licensing system administered by Vertafore. Licensee data from the previous PULSE system will be carried over to the new platform.
With the three-year stay, all existing dealer registrations under the law have lapsed and dealers and dealer representatives must now reregister. To support dealers and representatives in navigating the updated process, Vertafore is hosting a webinar on July 22 at 10:00 a.m. Central Time, demonstrating how to apply for or renew a license under the revised procedure.
The litigation that led to this court direction was initiated in 2020 by small business owners and hobbyist coin dealers arguing that Minnesota’s bullion dealer law imposed unconstitutional burdens on interstate commerce and individual rights. The law criminalized any bullion-related transactions annually exceeding $25,000 without a license and surety bond—affecting everyone from casual investors to IRA holders and ancient coin collectors.
Plaintiff Tom Styczinski, who operates Tom “The Coin Guy,” LLC, and co-plaintiffs Treasure Island Coins, Inc. and Numismatist United Legal Defense, claimed that the law discriminated against coin and bullion collectors while leaving other collectibles—such as art, stamps, and sports cards—unregulated. They also highlighted how the law drove away national dealers, isolated Minnesota buyers and sellers, and created monopolistic advantages for the large telemarketers who helped craft the legislation.
In August 2022, the US Court of Appeals for the Eighth Circuit ruled in favor of the plaintiffs. While the court did not immediately strike down the law, its direction effectively halted enforcement at the time.
Although the National Coin & Bullion Association (NCBA) is not a named plaintiff in the lawsuit, we have long opposed Minnesota’s 2013 law. NCBA previously spent two years working with the Department of Commerce to reform the statute but ultimately determined that litigation—rather than further negotiation—was the most promising path forward. We continue to support a full repeal or federal preemption of Minnesota’s bullion dealer law.
NCBA members and industry stakeholders are encouraged to monitor developments closely and ensure they are prepared to comply with the renewed registration requirements—even as we continue advocating for fairer and more practical regulation for bullion and numismatic dealers in Minnesota and across the country. To get involved in NCBA’s advocacy efforts, email ncba@ncbassoc.org.