Two subsidiaries of Seed CX, the renowned institutional platform that facilitates digital asset trading, have each bagged the most desired BitLicense from the New York State Department of Financial Services (NYDFS), as per the reports published on Monday. With this license, the two subsidiary firms named Zero Hash and SCXM (Seed Digital Commodities Market) will now be able to operate as the digital currency exchange and money transmitter, legally. It was also learned that there are only 20 other firms that have been granted this license apart from Seed CX.
According to the reports, SCXM has been authorized to serve as the matching engine for crypto sellers and buyers. SCXM will also become the platform to carry out block trades of crypto for both trading companies as well as big financial institutions.
Zero Hash, on the other hand, will be serving as a money transmitter for all the trading activities that result from its associated exchange, SCXM. At present, Zero Hash offers crypto as well as fiat spot settlement, and it will be adding support for forwards, repo, and other types of products in the forthcoming months.
It must be noted that Zero Hash has already been registered with FinCEN by Seed CX as an FX Dealer and a Money Services Business. In addition, the firm is also registered in more than 30 states of the US as the Money Transmitter.
Divulging additional details on the recently issued licenses, Superintendent of the NYDFS, Linda A. Lacewell, said that their approval of the licenses would offer institutional consumers more options while protecting them with stringent standards for cybersecurity, compliance, and anti-money laundering in a continually evolving marketplace of financial services, globally.
Seed CX’s CEO and Co-Founder Edward Woodford also expressed his opinions saying that attaining two licenses from the NYDFS would help them grow as a leader in digital asset institutional trading. Continuing further, Woodford said that as the license holders, they would be in a position to expand their settlement as well as trading services to companies in New York through their institutional platform.