Crypto Exchange Bitstamp Obtains New York BitLicense

News, Regulation | April 10, 2019 By:

The New York Department of Financial Services (NYDFS) has approved the application of crypto exchange Bitstamp‘s US-based subsidiary for a virtual currency license.

Founded in 2011, Bitstamp is a regulated European crypto exchange and the EU’s largest by trading volume. Currently offering trading between BTC, BCH, ETH, XRP, LTC, USD and EUR, the exchange empowers individuals and institutions to reap the benefits of emerging financial technologies by unlocking reliable access to leading cryptocurrencies.

The exchange’s subsidiary, Bitstamp USA, has been authorized by NYDFS to offer services providing its customers with the ability to buy and sell bitcoin, along with select other virtual currencies, for USD and vice versa. The BitLicense also allows Bitstamp USA to facilitate transfers of funds onto the Ripple Network, issuing Ripple Balances in USD, other virtual currencies, and select fiat currencies, including the Australian Dollar, British Pound, Euro, Swiss Franc, and Japanese Yen.

“We appreciate New York’s solid regulatory framework – the nation’s first – to protect consumers using cryptocurrencies and look forward to expanding our growing business in the state,” said Nejc Kodrič, CEO of Bitstamp. “Bitstamp has always embraced regulatory efforts that focus on transparency and accountability to help expand the industry and bridge the gap between the traditional financial and cryptocurrency worlds.”

The BitLicense came into effect in August 2015. To date, the NYDFS has approved the applications of 19 companies, including Square, BitPay, Genesis Global Trading, bitFlyer USA, Coinbase, XRP II and Circle Internet Financial.

“We are pleased to welcome Bitstamp to New York’s growing virtual currency marketplace,” said Acting NYDFS Superintendent Linda A. Lacewell. “A regulated industry protects customers while supporting innovation and ensuring our financial services sector is a vibrant part of New York’s economy.”