The New York State Department of Financial Services (NYDFS) recently issued a license that allows Bitstamp to offer a range of services based on Ripple technology.
According to an official press release published on the NYDFS website, the exchange is authorized to transfer funds through the Ripple Network as one of its natural financial services:
“DFS has authorized Bitstamp USA 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. Bitstamp USA is also authorized 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.”
The Bitstamp team was very pleased with the news. Nejc Kodrič, CEO of Bitstamp shared with the
media that Bitstamp has always focused on providing legal solutions that allow
its users to operate with the assurance that their businesses are fully
protected by law.
“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. 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.”
Speaking on behalf of the regulatory body, NYDFS Acting
Superintendent Lacewell said he was very pleased that Bitstamp met the
requirements for the granting of this license. Such actions could have positive
repercussions, not only for the company but for the ecosystem as a whole:
“We are pleased to welcome Bitstamp to New York’s growing virtual currency marketplace. A regulated industry protects customers while supporting innovation and ensuring our financial services sector is a vibrant part of New York’s economy.”
Bittsamp and Ripple have been working together since last
year. In an AMA dated December 18, 2018, Ripple CEO Brad Garlinghouse confirmed
that these two firms had entered into a partnership (which today bears one of
its most important fruits).
The infamous license, known by the community as Bitlicense, is so difficult to get that many exchanges have opted to move to other states or leave the country in order to continue operating freely.