The PACT Act requires sellers of tobacco products to comply with federal registration, reporting, and tax collection obligations when selling across state lines. The act also restricts which carriers can deliver tobacco products, with the USPS having prohibited the shipment of most tobacco and nicotine products. These shipping restrictions do not directly govern payment processing, but they affect it indirectly because payment processors use shipping compliance as a factor in their risk assessment of tobacco merchant accounts.
A tobacco merchant whose shipping practices are noncompliant creates regulatory risk for its payment processor, which gives the processor an additional reason to terminate the account. Tobacco crypto payment processing through 27 Blockchain separates the payment infrastructure from the shipping compliance question. The merchant remains fully responsible for shipping compliance under the PACT Act and applicable state laws, but the payment channel itself is not contingent on a processor's assessment of that compliance. 27 Blockchain provides the payment layer. The merchant manages the fulfillment layer.
