NYDFS Proposes Groundbreaking Updates to Virtual Currency License After Five-Year Hiatus

NYDFS Takes a Fresh Look at Virtual Currency Regulations

After nearly five years of regulatory radio silence, the New York Department of Financial Services (NYDFS) is finally dusting off its virtual currency license – affectionately known as the BitLicense. The NYDFS made waves when it published proposed guidelines on December 11, inviting crypto enthusiasts and casual observers alike to weigh in by January 27, 2020. Talk about a virtual town hall!

What’s New? Major Updates on Coin Listings

Two major updates are on the horizon for crypto-related businesses operating in the Empire State:

• Automatic Approved List: The first proposal introduces a list of cryptocurrencies deemed acceptable for business activities without needing an NYDFS nod beforehand. More coins, less hassle! Who doesn’t like easy?
• Self-Certification Model: The second update may just blow your digital socks off; a model framework for coin listings would empower businesses to self-certify new cryptocurrencies. Yes, you heard that right—adopt new coins without waiting for the regulatory snail to get moving!

Aiming for Clarity and Efficiency

Why now, you ask? The NYDFS hasn’t touched the BitLicense rules since summer 2015, and they’re on a mission to catch up with a rapidly evolving market. Their stated goal is to enhance regulatory clarity and efficiency, which sounds like plain good governance to us!

A Growing Focus on Cryptocurrency

As cryptocurrency keeps climbing the popularity ladder, the NYDFS has doled out a whopping 24 BitLicenses to date. That’s right, 24! They’re clearly serious about venturing into this digital frontier. In a further commitment to understanding the crypto landscape, they’ve also begun hiring experts in virtual currencies and blockchain technology. A Deputy Superintendent position in the Research and Innovation Division is now on the table. Watch out, crypto world—NYDFS is gearing up!

Have Your Say!

If you’re a curious crypto investor, entrepreneur, or just someone who enjoys a good policy discussion, the NYDFS invites you to chime in. Your feedback could help shape the future of virtual currencies in New York State. It’s time for voices to be heard—not just of the digital currencies, but also of the people who want them!