BitPay, one of the first cryptocurrency-only payment processors, has received authorization to operate within the limits of the state of New York by the New York State Department of Financial Services, the organization that regulates financial matters in the state. The license obtained by Bitpay is called commonly a “Bitlicense”, a license for virtual currency activities, according to a press statement released by the State Of New York.
Bitpay is one of the most comprehensive and integral cryptocurrencies only payment processors, offering their platform to merchants that want to accept cryptocurrencies worldwide. Started in 2011, it was one of the first processors that accepted cryptocurrencies for their customers and addressed the issue of volatility by exchanging the funds to local currencies immediately after payment.
With this new development, merchants and startups of New York will be able to use this payment processor and rely on their services to accept crypto and use those cryptos then with the BitPay Visa Debit Card. As other firms that have obtained the precious Bitlicense, the state of New York had to confirm that the startup fulfilled the highest requisites in identification and money laundering policies. The New York State Department of Financial Services has been known to be one of the tightest organizations in conceding this kind of license in the whole country.
Stephen Pair, CEO of BitPay declared that this was a milestone for them and that they were prepared to offer their services to the people of New York. He stated:
WE BELIEVE THIS GIVES BUSINESSES NOT ONLY IN NEW YORK BUT ACROSS THE COUNTRY CONFIDENCE THAT BLOCKCHAIN TECHNOLOGY OFFERS CLEAR BENEFITS TO BUSINESSES ENGAGED IN ECOMMERCE AND CROSS BORDER TRANSFERS.
Till now, only exchanges had received the Bitlicense from the state of New York. This would be the first time that a payment processor gets the clearance to operate there. This gives them a tremendous headstart as an alternative payment means for all merchants that do business in New York.