December 12, 2019 | less than a minute read

NY DFS PROPOSES TO CREATE AN EASIER PATH TO ISSUANCE OF VIRTUAL CURRENCY

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Herb Kozlov

Partner

Get in touch

Herb Kozlov

Partner

If the contemplated regulatory scheme announced today by the NY DFS is implemented, many of the obstacles to issuance of new digital currencies would be eased. This would help transform NY from a venue that is regarded as difficult for FinTech companies to operate in to one that is "open for business" to reputable digital asset entities.

Most interesting is the self-certification process being considered, whereby entities that already have a BitLicense can create their own policies for listing new coins.

N.Y. to Ease Coin Listings for Licensed Virtual Currency Firms Licensed virtual currency companies in New York could get new coins to market faster under proposed changes to the state’s oversight regime. Proposed guidance released Dec. 11 by the New York Department of Financial Services would allow virtual currency companies that already have the state’s BitLicense or virtual currency trust license to create their own policies for listing new coins for sale and trading. Once the state approves a firm’s procedures, it can self-certify the listing of any new virtual coins, according to the proposed guidance. The DFS is also proposing to post a list of existing virtual currencies that licensed companies can do business in without getting approval from the state, as long as the listed currencies are not modified, split or changed in any way.