nydfs

According to Cointelegraph, the New York State Department of Financial Services (NYDFS) and the Wyoming Division of Banking announced the signing of a Memorandum of Understanding (MOU) to coordinate the regulation of cryptocurrency companies operating in both jurisdictions, covering license approvals, inspections, and potential enforcement actions. This agreement applies to businesses already regulated in either state, as well as companies seeking approval in both locations simultaneously.Under the agreement, the regulatory agencies in both states will share analytical results and historical inspection data to streamline the application process, coordinate inspection timelines, and promote joint inspections of companies operating across state lines. For businesses already regulated in one of the states, holding an existing license or charter for at least three years, and not subject to enforcement actions, the agreement provides an expedited approval pathway, with the second regulatory agency striving to make a decision within six months.The MOU also establishes a mechanism for sharing regulatory reports, market trend data, and notifications of potential enforcement actions, with regulatory agencies regularly sharing investigative information and being able to take joint, coordinated, or separate enforcement actions. This move connects two states that have historically taken different approaches to cryptocurrency regulation: New York has maintained the BitLicense regime since 2015, while Wyoming has accommodated digital asset businesses through cryptocurrency-related laws, regulations, and specialized banking charters.

ChainCatcher news, according to FinanceFeeds, the New York State Department of Financial Services (NYDFS) has released updated guidelines for licensed virtual currency custodial entities (VCEs).The core requirement of the guidelines is that the custodial structure must ensure that the beneficial ownership of digital assets always belongs to the customers, especially in the event that the custodial entity faces bankruptcy, customer assets must also be protected.NYDFS stated that this update is in response to the surge in demand for virtual asset custody from institutional and retail clients, as well as the increasingly complex "sub-custodial" relationships within the industry. The new guidelines explicitly prohibit custodians from using customer assets for activities such as re-hypothecation or unsecured lending that could harm customer ownership without explicit permission and informed consent.At the same time, stricter due diligence, contractual terms, and disclosure requirements have been imposed on custodians using sub-custodial institutions. The guidelines aim to provide greater clarity and confidence to customers and encourage licensed entities to review their custodial structures and customer agreements. This updated guideline effective in 2025 replaces the previous version from January 2023.

ChainCatcher news, according to The Block, the New York State Department of Financial Services (NYDFS) has released new guidelines requiring banks to use blockchain analysis technology to identify and mitigate risks related to money laundering, terrorist financing, and sanctions evasion when screening customer wallets and launching digital asset products.NYDFS stated that as virtual currency businesses expand, traditional banks need to adopt new tools to address emerging threats and maintain the security of the financial system. On the same day, NYDFS issued a BitLicense and a money transmission license to Bullish.

ChainCatcher news, Ripple posted on X: "Despite some speculation, RLUSD will not launch today. We are synchronizing with the New York Department of Financial Services (NYDFS) for final approval and will share the latest updates with everyone as soon as possible. We are fully committed to operating under the supervision of the NYDFS."Previous news revealed that insiders disclosed Ripple is about to receive approval from the New York Department of Financial Services (NYDFS) to issue the stablecoin RLUSD, which is expected to officially launch on December 4, 2024.

ChainCatcher news, New York Department of Financial Services (NYDFS) Superintendent Adrienne Harris stated that she welcomes federal cryptocurrency legislation, but that states should retain regulatory responsibilities.Adrienne Harris said, "We may be more eager than anyone to work with our federal partners and see the introduction of federal legislation and regulation. I believe that the passage of legislation and the establishment of regulation are very important, but states should still retain their regulatory roles."Adrienne Harris expressed an "optimistic" attitude that the House and Senate may soon push related legislation, noting that NYDFS has engaged in dialogue with lawmakers from both chambers and both parties over the past few years.Additionally, Harris stated that NYDFS has one of the largest cryptocurrency departments in the world, with 60 full-time employees focused on the cryptocurrency industry.

ChainCatcher news, according to CoinDesk, cryptocurrency custody company Fireblocks plans to establish a limited-purpose trust company under the regulation of the New York Department of Financial Services (NYDFS). The company stated on Friday that Fireblocks Trust Company will provide cold storage custody services to U.S. clients before final regulatory approval is obtained.It is reported that the New York-based company is also creating a licensed custody institution network called the Global Custody Partner Program, which will launch this quarter, with the first companies coming from the United States, United Arab Emirates, United Kingdom, Singapore, Thailand, and Australia.

According to ChainCatcher news, Fox reporter Eleanor Terrett reported that the asset management company WisdomTree has obtained a trust company license issued by the New York State Department of Financial Services (NYDFS), allowing it to launch its cryptocurrency application WisdomTree Prime in New York.

ChainCatcher news, according to CoinDesk, New York State Department of Financial Services (NYDFS) Superintendent Adrienne A. Harris stated in a statement that the department has strengthened its guidelines for the listing or delisting of cryptocurrencies to enhance protections for crypto investors across the state.The updated guidelines will require crypto companies to submit their token listing and delisting policies for NYDFS approval. The statement noted that these companies' policies will be assessed based on stricter risk evaluation standards to ensure that delistings are conducted "in an orderly manner to protect consumers and minimize market disruption."

ChainCatcher news, according to CoinDesk, the New York Department of Financial Services (NYDFS) stated that the cryptocurrency exchange BitFlyer USA was fined $1.2 million by NYDFS for failing to meet the state's cybersecurity laws. NYDFS acknowledged BitFlyer USA's efforts to strengthen its cybersecurity. The exchange submitted a remediation plan to the regulators aimed at bringing BitFlyer USA into compliance with the state's cybersecurity laws by the end of the year. (Source link)

According to ChainCatcher, stablecoin issuer Circle filed a complaint with the New York State Department of Financial Services (NYDFS) last year, alleging that competitor Binance mismanaged the reserves of its own token, warning regulators that Binance's reserves were insufficient to support BUSD.In an email, the regulator indicated that NYDFS determined Paxos was unable to "operate BUSD in a safe and sound manner based on extensive regulatory engagement, recent examinations, and Paxos's failure to timely remediate significant issues related to BUSD issued by Paxos," and thus ordered Paxos to cease minting BUSD. (Bloomberg)

ChainCatcher news, according to Axios, the New York State Department of Financial Services (NYDFS) is investigating the cryptocurrency exchange platform Gemini. FDIC officials stated that federal law prohibits anyone from implying that uninsured products are FDIC insured, or from intentionally misrepresenting the scope and manner of deposit insurance. While the FDIC language used by Gemini is misleading, it is currently unclear whether it has actually violated the law. (Source link)