New York state regulators have issued their first “BitLicense” (Bitcoin License) to a company working with virtual currency, according to ABC News.
The Department of Financial Services (DFS) issued the licence to Circle Internet Financial after the company outlined its procedures to prevent money laundering and other criminal activity that has long been associated with virtual currencies such as Bitcoin.
“Issuing the first BitLicense is an important milestone in the long-term development of the virtual currency industry,” DFS department Superintendent Anthony Albanese said. “Putting in place rules of the road … is vital to building trust in this new financial technology.”
Company spokesperson Sarah Mitchell described Circle Internet Financial as a consumer payments company dealing primarily in U.S. dollars. A statement on Circle Internet Financial’s website claimed the company utilizes virtual currency as a method of transfer, which allows users to “enjoy the benefits of Bitcoin” without worrying about risks such as “price volatility.”
(Source: ABC News)