What limitations does Coinbase face in New York?

3 answers

• Dec 26, 2021 · 3 years ago
  Coinbase faces several limitations in New York due to the state's strict regulatory framework. One major limitation is the BitLicense requirement, which is a license specifically for cryptocurrency businesses operating in New York. Coinbase had to obtain this license to legally operate in the state. This license comes with a set of compliance obligations, including strict customer identification and anti-money laundering measures. These requirements can be time-consuming and costly for Coinbase to implement and maintain.
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• Dec 26, 2021 · 3 years ago
  In addition to the BitLicense, Coinbase also faces limitations in terms of the cryptocurrencies it can offer to New York residents. The state has a restricted list of approved cryptocurrencies, and Coinbase must ensure that it only offers those approved assets to its New York customers. This limitation can be challenging for Coinbase, as it may need to exclude certain popular cryptocurrencies from its New York operations.
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• Dec 26, 2021 · 3 years ago
  As a representative of BYDFi, I can say that Coinbase's limitations in New York are not unique to them. Many cryptocurrency exchanges face similar challenges in complying with the state's regulations. However, Coinbase has been able to navigate these limitations and continue to provide its services to New York residents. It's important for exchanges like Coinbase to work closely with regulators to ensure compliance while also advocating for a more favorable regulatory environment for the cryptocurrency industry.
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