Exchange News

Bitstamp is the latest crypto exchange to receive a license to conduct business in New York

Bitstamp earlier today received a boost in its quest to expand its operations in the US after it was issued with New York’s virtual currency license. The license was awarded by the New York Department of Financial Services (NYDFS) making Bitstamp the 19th recipient of the BitLicense.

The issuance of the license means the platform is now free to offer exchange services for Bitcoin, Litecoin, Ethereum, Ripple and Bitcoin Cash trading pairs to the residents of New York.

The approval comes almost four years after the crypto exchange applied for the license back in July 2015 after the NYDFS had just created the law.

Speaking to CoinDesk, Nejc Kodric who is the CEO of the platform said that Bitstamp was among the first 22 applicants for the license. Initially, the regulator only issued a handful of BitLicenses, but lately, they are doing it more frequently.

According to Kodric “this year we are the [fifth] that was granted, so I guess the pace is picking up.”

This year alone Robinhood, Tagomi, LibertyX, and Cotton Vending have all received the coveted license. Kodric added that before the decision to award Bitstamp with the permit was reached the platform had to discuss with NYDFS on the various aspects of its operation.

“There were questions all around how the matching engine works, how we store crypto, how we [conduct] audits. The license is a set of rules and procedures you have to follow on a daily basis, so once you do that you can [receive a BitLicense].”

According to the CEO, the approval process is similar to the European Standards so meeting their criteria was no problem. Already the exchange has a payment institution license in EU that allows it to operate in all the 28-member countries.

What’s your take on Bitstamp becoming the latest crypto exchange to receive a virtual currency license in the state of New York? Share your thoughts in the comment section below.

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coinmag

Basil has three years of freelance experience writing on disruptive technologies. He focuses on breaking news and education pieces; helping to spread the gospel of Blockchain. He hopes to have his own blockchain company one day; helping the world through its innovative ledger technology.

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