Coinsource, a world largest Bitcoin ATM network that helps execute a fast trade to buy and sell bitcoin with cash has officially announced that it has been granted a virtual currency license namely “Bitlicense” from the New York State Department of Financial Services (NYDFS) as per the company source on 1st November.
With the regulatory formal seal approval in place, the community users in New York may able to execute a trade by buying and selling Bitcoin (BTC) via Coinsource’s Bitcoin Teller Machines (BTMs). Following the development, a Texas-based operator, who is believed to be the first operator that has received an NY Virtual Currency License that has imparted almost 40 BTMs within the New York City, Westchester, and Nassau County.
While elaborating the technical aspects of BTMs having touchscreen kiosks that help customers to deposit cash via Bitcoin purchased while linking mobile wallet or to scan their mobile wallet at the kiosk in order to execute a transaction.
With this, NYDFS has elaborated more about its decision to approve Coinsource due to its applications and the firm’s strictness towards the regulatory environment in the states.
The firm is believed to have followed certain rules namely – robust anti-money laundering (AML), counter-terror finance (CFT) measures as well as applied all those risk-based controls that that firm has implemented in order to prevent any potential manipulation while using Bitcoin.
Amid this, Sheffield Clark, CEO of Coinsource said in his comments that “the new license represents an opportunity for all New Yorkers – from [the] unbanked to [those] who own the banks – [to] use our kiosks in […] neighborhood retail locations to buy bitcoin instantly in a convenient and familiar way.”
Further speaking to the subject matter, Maria T. Vullo, a Financial Services Superintendent said in her statement that “implementing strong regulatory safeguards” while fostering the “responsible growth of financial innovation.”
With the numerous benefits of the crypto-based activities in place, NYDFS has applied a positive approach by allowing technology led financial innovation under the regulatory considerations. With this, NYDFS is believed to have approved almost 12 charters/licenses for all those firms that involve in virtual currency activities.
Let us not forget that NYDFS is believed to have introduced a set of new stablecoins in this fall including U.S. Dollar led stablecoin by Paxos, one of the blockchain led company. With this, another one owned by Winklevoss Twins dubbed Gemini dollar. Both the company are believed to have introduced their stable coins on 10th September.