New York Regulator Sets Tougher Standards for Listing and Delisting Cryptocurrencies
If you want to list or delist a cryptocurrency in New York, you now have to go through the state’s primary regulator, the New York State Department of Financial Services (NYDFS). The NYDFS has introduced stricter standards for listing and delisting cryptocurrencies due to the evolving market.
Under the new rules, licensed crypto businesses must submit their listing and delisting policies for approval from NYDFS. The regulator emphasized that it will not approve a coin listing policy without an accompanying coin delisting policy.
Crypto businesses can list certain cryptocurrencies without policies, but only if they are included on the NYDFS greenlist, which currently features Bitcoin, Ethereum, and six stablecoins. Before listing a cryptocurrency, crypto businesses must assess various risks, including regulatory, operational, legal, cybersecurity, and conflicts of interest.
The updated regulations also prohibit crypto exchanges from listing privacy-focused cryptocurrencies without prior approval.
Hot Take: NYDFS Tightens Grip on Cryptocurrency Listings
The New York State Department of Financial Services’ new regulations mark a significant shift in how cryptocurrencies are listed and delisted in the state. By requiring approval for listing and delisting policies and introducing strict evaluation criteria, the NYDFS is aiming to bring more oversight to the cryptocurrency market within its jurisdiction. This move could set a precedent for other regulators to follow suit and implement similar measures to ensure greater transparency and compliance within the crypto industry.
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