From the United States came the crypto regulation move that will have great repercussions. It is known that 30% of the demand in the crypto money markets is made up of the US markets.
New York State, known as the financial center of America, holds the authority to enact legislation and set standards. An international financial institution has an obligation to obtain permission from central institutions such as the Securities Exchange Commission (SEC) if it wishes to trade in the U.S. markets. In order for a business to operate in New York, it must obtain a license from an entity authorized by the State of New York. The institution authorized by the State of New York is the New York State Department of Financial Transactions.
The listing and trading of 8 cryptocurrencies has been approved by the New York financial regulator. Besides that, all 3 cryptocurrencies were officially allowed to be stored. According to the published report, Bitcoin (BTC), BitcoinCash (BCH), Litecoin (LTC), Ethereum (ETH), Binance USD (BUSD), Pax Gold (PAXG), Paxos Standard Token (PAX), Gemini Dollar (GUSD) received a listing and trading license on August 3. In addition to all these cryptocurrencies, Ripple (XRP) and Ethereum Classic (ETC) are among the cryptocurrencies that have received licenses for surveillance. The NYDFS, a pioneer of the new regulations, explained, “In New York, any entity licensed by DFS to conduct virtual currency trading activities can use the coins on the list for approved transactions.” However, this can only happen if licensees must notify the regulatory body before using the tokens on the list. Apart from that, it is known that the NYDFS will have the authority to remove any token from the list, limit the activity of any coin, and suspend the list completely if it wishes. NYDFS is the primary regulatory body that issues “BitLicense”, the business license for cryptocurrencies. As it will be recalled, the regulatory body started to grant conditional license permission for crypto companies to list tokens in June.
This important development is considered as an important step for crypto coins to attract investment from institutional markets.
