The New York State Financial Services Authority (NYDFS) has opened a new division for regulating and supervising the cryptocurrency industry.
The Research and Innovation Department (RID) will monitor the development of financial technologies, “be responsible for licensing and supervising virtual currencies” and protect consumer rights.
Also, RID will be responsible for issuing BitLicense – licenses entitling companies to buy, sell, and issue cryptocurrencies in the state of New York. According to the head of NYDFS, Linda Laswell, RID will help develop the industry and strengthen New York’s position as a global center for financial innovation.
NYDFS has been handling crypto industry regulation in the state of New York since 2015. In the first three years of operation, the agency issued only eight BitLicense. Recently, however, the organization has become significantly more active and there are already 20 companies with such a license.
Recall that we recently received BitLicense of Seed Digital Commodities Market LLC (SCXM) and Zero Hash LLC, acting as bitcoin exchange operators for institutional investors of Seed CX.