Following its official adoption, the application form was released yesterday for Bitcoin companies to fill out. Aside from basic company information, it asks applicants to list all jurisdictions where they have licenses, or have applied for them, as well as indicate whether they have ever been the subject of regulatory or enforcement action in any jurisdiction.
The New York State Department of Financial Services (NYDFS) has released the application forms that Bitcoin companies in the state must complete by August 8 in order to register their businesses.
“Many fear it will stifle innovation in the industry and exclude New York from the developing currency.”
Companies must provide copies of all insurance policies, as well as biographical information on all company directors and stockholders. They must also provide an organization chart of the company’s management structure, along with “an explanation of the methodology used to calculate the value of virtual currency in fiat currency.”
The BitLicense has prove controversial, with Eobot last week becoming the third firm to exit the state as a result of the new regulations. Though Lawsky has said regulators “need to realize their own limitations; recognize what they do not know, and keep an open mind when approaching new technologies,” many have criticized the scope of the regulations.
The BitLicense was formally adopted earlier this week through publication in the New York State Register. All Bitcoin firms must now complete the 31-page application form and pay a non-refundable US$5,000 application fee in order to continue operating.
Another user assumed Lawsky’s name, replying to the above message with: “I worked tirelessly on the BitLicense, only taking big companies with deep pockets advice, so that I could come up with a complex process only my consulting firm will be able to help you with.”
“Thank you, Mr. Lawsky, for regulating this industry!!! Might you, by chance, know anyone who can help me comprehend the 31 pages of this document, complete the application, and then comply with the requirements? Yourself, perhaps?”
Jesse Powell, co-founder and CEO of Kraken, said heavy compliance costs on digital currency exchanges made it more difficult to operate profitable exchanges. He continued:
The final revisions to the New York State regulatory program on digital currencies were released earlier this month by the superintendent of financial services for the NYDFS Ben Lawsky, with minor updates to improve functionality and make state regulators’ roles more clear.
Users on Reddit reacted sarcastically to the length of the application form, with cointastical saying:
Applicants must also provide an investigative background report prepared by an independent investigatory agency for each individual applicant, including information such as credit history, employment history, and motor vehicle ownership history. Three personal references from non-relatives are required for all applicants.
Bitcoin Price Move Past $6.5K Would Boost Upside Potential
Against expectations, bitcoin (BTC) defended support at $6,000 over the weekend, opening the doors for a stronger corrective rally above $6,480.
Friday's drop below $6,240 (bear flag breakdown) had
XRP Cryptocurrency Now Down 90% From 2018 Price High
XRP, the world's third-largest cryptocurrency by market capitalization, fell to its lowest price of 2018 on Tuesday.
At 00:01 UTC, just after Monday's close, the cryptocurrency dropped to $0.27 cen
Bitcoin's Price Falls Below $6K to Near 2018 Low
The price of bitcoin fell below $6,000 on Tuesday, a move that brought the world's largest cryptocurrency within 2 percent of its 2018 low.
At press time, bitcoin is trading hands at $5,922, print
Korea's Jeju Island Seeks to Become ICO Hub Despite Domestic Ban
South Korea's Jeju island is seeking to become a free zone for initial coin offerings (ICOs) – a plan that, if approved, would allow crypto projects to conduct token sales in the self-governing provin
Square Expands Cash App Bitcoin Service to All 50 US States
Mobile payments firm Square now lets customers buy and sell bitcoins via its Cash App in all 50 U.S. states.
The company – which was co-founded by Twitter chief executive Jack Dorsey – announced th
Jamaica Stock Exchange to Trade Crypto Assets in 2018
The Jamaica Stock Exchange (JSE) will soon be offering cryptocurrencies as tradeable assets for clients.
The company said Tuesday that it had signed a memorandum of understanding (MoU) with blockch
Fantasy Football League to Raise $100 Million in Crypto ICO
A blockchain startup wants to raise nearly $100 million dollars to create a new form of fantasy football.
Called the Crown League, the project's owner told CoinDesk on Tuesday that it seeks to form
Goldman Sachs, JPMorgan Invest in Axoni's $32 Million Funding Round
Enterprise-focused blockchain startup Axoni has completed a $32 million Series B funding round led by Goldman Sachs and Nyca Partners.
Also participating in the round were Andreessen Horowitz, Citi