The New York State Department of Financial Services (DFS) has granted a virtual currency license to Bitstamp USA Inc., a subsidiary of Bitstamp Ltd., authorizing the company to offer crypto trading services in the state of New York.
The virtual currency license, also referred to as the BitLicense, allows[1] Bitstamp USA to offer trading services in several cryptocurrencies including bitcoin, ether, litecoin and bitcoin cash, as well as the US dollar. Bitstamp USA is also authorized to facilitate transfers of funds onto the Ripple Network, issuing Ripple Balances in US dollar, other cryptocurrencies, and select fiat currencies, including the Australian dollar, British pound, the euro, the Swiss franc, and the Japanese yen.
Bitstamp said[2] the news was an important step in the company’s effort to expand its presence in the US and showcase its commitment to being compliant with international regulations.
In 2016, Bitstamp Europe S.A., the group’s Luxembourg subsidiary, was granted[3] a license to be fully regulated in the European Union (EU) as a payment institution, allowing it to do business in all 28 EU member states.
“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,” said Nejc Kodrič, CEO of Bitstamp.
“We’ve always embraced proactive efforts that protect the interests of both consumers and institutional investors. Obtaining a BitLicense is another example of our commitment to be the most trusted digital currency exchange in the world.”
Kodrič added:
“Having a BitLicense is also a key element in ramping up our presence in the United States, especially when it comes to working with institutional investors.”
The New York State DFS BitLicense required[4] Bitstamp to meet several stringent requirements and submit documents including audited financial statements,
