According to reports, the NYDIG has received a BitLicense from the New York DFS or Department of Financial Services. This comes as an official announcement by the DFS published on 14th November.
NYDIG Execution LLC
NYDIG Execution is a subsidiary of the Digital Investment Group LLC in New York, and at present, it is legally approved to run cryptocurrency-associated business and even conduct all kinds of money transfers. By way of its new license, the company has been offered the flexibility of providing trade and crypto custodial execution solutions within the jurisdiction of the state of New York.
New York Digital Investment Group is now allowed to run in the form of a crypto custodian involving five major cryptocurrencies namely BCH or Bitcoin Cash, BTC or Bitcoin, ERP or Ripple, LTC or Litecoin and ETH or Ethereum. The NYDIG has been certified to operate self-custodial contracting for custodial solutions with different third parties, according to a statement. It shall also carry out the process of recruiting with the NYDIG Execution along with its other subsidiary that had been offered limited trust standing in the same announcement. This subsidiary is NYDIG Trust.
A bit about BitLicense
BitLicense was issued for the very first time in August in 2015. It is a kind of business license enabling the holders to make use of cryptocurrencies. It also makes the holders feel obliged to comply with different rules that cover the control, maintenance, storage, issues and administration of cryptocurrencies.
The license offers businesses with a kind of fully defined regulatory structure for cryptocurrencies in the state of New York. However, there are many new entrants in the industry that have criticized the statutory requirements of the BitLicense, according to reports. Many agencies were forced to leave New York after the introduction of BitLicense on the world stage.