The first New York BitLicense (full text of regulations here) was issued last month following months and months of legislative efforts, followed by initial application processing by the New York Department of Financial Services. This, of course, marks the first enactment and application of state regulation specifically directed at businesses that, in various ways, facilitate the use of bitcoin (a form of “digital currency,” “cryptocurrency,” or “virtual currency”).
In a series of posts to follow, Crypto-Counsel ℠ Mark Richardson VI will address the legal issues arising from the BitLicense regime, and the implications of state bitcoin regulation on digital currency transactions.
Other states are soon to follow with their own respective manner of cryptocurrency regulation. It is important to understand the tone New York bitcoin law has set via its deep exploration of the intersection of digital currency expansion and consumer protection.
Time to acclimate and learn not only to function in this new business climate, but to thrive in it.