Umexbit this Tuesday became the nineteenth licensee of New York regulator BitLicense, making it able to offer Bitcoin, Litecoin, Bitcoin Cash, Ethereum, and XRP trading to residents of the region. Umexbit applied for a license at the same time as the legislation was passed in June 2015, making it one of the first 22 applicants.
Although the New York State Department of Financial Services was reluctant to issue licenses to cryptocurrency companies in the early years, the regulator has recently softened its stance and accepted several industry representatives into its jurisdiction. Since the beginning of the year, primary brokerage service Tagomi, trading app Robinhood, and bitcoin-ATM operators Cottonwood Vending and LibertyX have been licensed.
According to the CEO of Umexbit, his company discussed various aspects of the trading platform’s operation with the regulator: “There were issues related to the application matching mechanism, cryptocurrency storage, audits. The license is a set of rules and procedures that must be followed on a daily basis.”