A recent approval was given by the New York Department of Financial Sevices (DFS) to Xapo, a virtual license currency, and Paxos Trust Company to grant exchanges and services of custody for other cryptocurrencies such as Bitcoin Cash, Litecoin, Ether and Stellar Lumens.
Paxos, which is known formerly as itBit Trust Company, now provides other services such as a trading system for Bitcoin through the platform of itBit.
“Through strong and thoughtful regulatory oversight by DFS, consumers and the virtual currency market alike will continue to benefit,” said Maria T. Vullo, DFS Superintendent.
“Xapo wants to develop its Bitcoin wallet and vault services, the latter being a method to store Bitcoin in more secure conditions. The license offered by DFS will undergo ongoing supervision,” she also added.
The president of Xapo, Ted Rogers, said that the approval of Xapo’s Bit License presentation was certainly agreeable and DFS had also been approved a currency charter through virtual means in the month of May 2015 to itBit as it runs an exchange service.
DFS currently granted Paxos the authorization to widen their service offerings to include even Bitcoin Cash, Stellar Lumens, Ether and Litecoin.
“This is an important milestone for itBit as we create a broader platform for crypto asset investors. We are committed to the growth and evolution of this ecosystem and DFS approval allows us to offer more trading and custody services across a wider range of crypto assets,” said Chad Cascarilla, Paxos CEO.
“Regulatory oversight and security have always been at the forefront of building our platform. We are thrilled to be able to offer these new services to our customers,” Cascarilla added.
DFS also granted the approval of six other companies including bitFlyer USA, XRP II, Coinbase, Circle Internet Financial, Gemini and Genesis Global Trading to license virtual currency charters.