Last week, the New York State Department of Financial Services (NYDFS) proposed changes to BitLicense’s legal guidelines across the state. Gemini, a cryptocurrency exchange that calls New York their home, sees this move as positive.
Gemini’s Chief Compliance Officer, Noah Perlmanhe said to Cointelegraph:
“The proposed conditional license framework is another step DFS is taking to ensure that this industry continues to grow and innovate and become more accessible to more people without compromising security.”
The NYDFS proposed BitLicense changes last week
New York has made a name for itself as a regulatory hotbed in the United States. The state introduced BitLicense in 2015 and laid down the strict regulatory requirements that companies dealing with cryptocurrencies have to meet.
On June 25, 2020, the NYDFS submitted a request for comment on a so-called conditional BitLicense with strict regulatory parameters. Essentially, Conditional leave serves as a kind of mentoring. It enables BitLicense holding companies to work with companies that do not have the license to meet the regulator’s expectations of obtaining a full license.
Twins stay in New York
Gemini is a friendly exchange of cryptocurrencies in the United States and sees value in government policies, but also appreciates the space for innovation and growth, according to the earlier comment by stock market founders Tyler and Cameron Winklevoss.
“Gemini was founded on the principle that careful regulation will pave the way for healthy and prosperous markets.” said Perlman.
“We chose to build Gemini’s New York headquarters and overcome the additional regulatory hurdles to get a NYDFS trust license for this particular reason. NYDFS is responsible for regulating cryptocurrencies and its thoughtful approach in Direction a taken over Regulation helps drive the cryptocurrency industry. “
Unlike Gemini, however, several cryptocurrency companies left New York after the region launched BitLicense in 2015, including Exchange Kraken and Paxful, a buying and selling proposition for cryptocurrencies.