U.S. New York State Department of Financial Services adopts virtual currency assessment regulation

04/18 01:34

Superintendent of Financial Services Adrienne A. Harris announced today that the New York State Department of Financial Services (DFS) has adopted a final regulation establishing how companies holding a DFS-issued Bitlicense will be assessed for costs of their supervision and examination. The adopted regulation effectuates a provision in the New York State FY23 Budget giving DFS new authority to collect supervisory costs from licensed virtual currency businesses, similar to other licensees regulated by DFS. This regulation will allow the Department to continue adding top talent to its virtual currency team to continue efficient and effective regulatory oversight. DFS’s virtual currency regulatory framework is modeled after full-scope banking supervision, requiring companies to meet rigorous standards for capitalization, cybersecurity protection, and anti-money laundering protocols, among other requirements. The Final Regulation Sets Forth the Process to Assess Operating Costs for Virtual Currency Businesses, On Par with Regulated Banking and Insurance Entities.
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