The State Department of Financial Services (DFS) of New York, has approved two applications for virtual currency licenses (BitLicense). The first one is for fee-free stock and cryptocurrency trading app Robinhood while the second one is for LibertyX – a company enabling users to buy Bitcoin at traditional ATMs.
Robinhood Gets New York State Go-Ahead
The DFS has approved the application of Robinhood Crypto LLC – a subsidiary of Robinhood Markets Inc. for a virtual currency license – the so-called BitLicense.
As per the license, Robinhood will be able to offer services for buying, selling, and storing seven cryptocurrencies in New York. These include Bitcoin, Litecoin, Bitcoin Cash, and Ether.
Robinhood was reported last year to consider going public through an IPO. The platform has seen a serious growth of its user base after enabling the trading of cryptocurrencies in February 2018.
In addition to the BitLicense, the company was also provided with a money transmitter license.
Commenting on the above, Vlad Tenev, co-CEO, and co-Founder at Robinhood Markets said:
We’re delighted that Robinhood Crypto has been granted a virtual currency license and a money transmitter license in New York. This will complement the larger suite of investment services that New Yorkers already have access to on the Robinhood platform. The NYDFS has been very helpful throughout this process, and we look forward to their ongoing guidance as we prepare to launch Robinhood Crypto in New York.
LibertyX Also (Bit)Licensed
Another cryptocurrency-oriented company has also received the go-ahead from the DFS.
LibertyX which makes it possible for users to buy Bitcoin at traditional ATMs, has also seen its application for a BitLicense approved.
This makes it the first licensed company in the state of New York to allow locals to buy Bitcoin through regular ATM machines.
Chris Yim, CEO at LibertyX said:
After an extensive review process, we are delighted to receive the blessing of the NYDFS (BitLicense) and offer the first debit card Bitcoin purchasing options to New York State residents.
What are your thoughts on the BitLicense? Do you think it’s necessary? Let us know down below!
Images credit to Feedough