New York Department of Financial Services
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New York wants Bitcoin exchanges to be heavily regulated
Popularity just isn't easy. That's something cryptocurrencies, like Bitcoin, are starting to grasp. Yes, they're now being accepted as a formal method of payment by more and more places, but some government entities still can't figure out how to treat them properly, particularly in the US. Case in point: the state of New York, which is proposing that companies exchanging virtual currency with consumers go through a regulatory process. BitLicense, a plan that's been in the works for nearly a year, would require these cryptocurrency banks to verify the identity of customers and, in some cases, ask for more information from "high-risk customers, high-volume accounts, or accounts on which a suspicious activity report has been filed." But that's not necessarily a bad thing, not for everyone anyway. "These regulations include provisions to help safeguard customer assets, protect against cyber hacking, and prevent the abuse of virtual currencies for illegal activity, such as money laundering." Benjamin M. Lawsky, superintendent of New York's Department of Financial Services, stated in a press release about to the proposal.
