NEW YORK—The New York State Department of Financial Services has issued its second virtual currency license, known as BitLicense.
The Department approved of the application of Ripple Labs’ affiliate, XRP II, LLC. The regulators stated that they carefully reviewed Ripple’s anti-money laundering, capitalization, consumer protection, and cyber security standards to issue the license, Coinspeaker reported.
“DFS is pleased to continue to foster the growth of the New York virtual currency marketplace and industry through thoughtful and appropriate regulation,” Acting Department of Financial Services Superintendent Maria T. Vullo told Coinspeaker. “DFS will continue to progress on licensing virtual currency firms while acting in the best interests of New York consumers.”
BitLicense is a set of regulations for businesses to operate with virtual currency in the state. It is equivalent to the rules applied to money transmission businesses, while at the same time contains additional cryptocurrency-specific provisions, Coinspeaker noted.