New York Regulator Provides Crypto License To Firm
The NYS Department of Financial Services (DFS) has granted BitLicense, a license for crypto activities, to NYDIG Execution, as follows from the organization’s press release.
NYDIG Execution, which is a branch organization of the NY Digital Investment Group (NYDIG), has obtained legal rights to do business with digital assets and transfer remittances. The company has the right to offer the listing of cryptocurrencies and to carry on trading in the territory of the State of New York.
Now NYDIG may serve as a crypto depository for BTC, ETH, Bitcoin Cash, Ripple, and Litecoin, as well as conclude contracts on crypto storage with third parties.
The entitling of a license gives another evidence that working within the regulation system of the NY state leads to the creation of a strong fintech market, contributes to innovation and effective risk management mechanisms, department's head Maria Vullo stressed.
The BitLicense was first issued in August 2015. Its owner has the right to manage crypto assets and must comply with the requirements related to the control, management, maintenance, and storage of assets. At the same time, many companies were critical of licensing requirements, some had to leave New York. Nevertheless, several large companies in the crypto sphere submitted applications and obtained BitLicense in 2018.
As previously reported, Coinbase Custody Trust received a license for crypto activities in the state of New York.