Bitcoin [BTC] brothers: We think regulation is a big win for New York State

Bitcoin [BTC] and other cryptocurrencies continue to be a peculiar case to regulators around the world. With some of the places noted to have very friendly crypto-environment and others noted to be hostile, but rarely any in between. Importantly, the coin has taken the center-stage in the US, as decisions on regulating the space, wherein it protects the investors without hindering innovation, is still one of the main concerns of the regulatory bodies around the country.

So far, Wyoming state is considered to have a cryptocurrency and blockchain technology-friendly environment and New York is considered to be the worst places for the industry. Additionally, several influencers in the space such as Jesse Powell, CEO of Kraken, and Erik Voorhees, CEO of Shapeshift, have openly spoken about the hostile cryptocurrency environment of New York.

However, the Winklevoss brothers have a different perspective on the cryptocurrency regulation in New York. Tyler Winklevoss stated that with the regulation, there is the reason they “have a business”, taking into consideration the issuance of the BitLicense. BitLicense is a business license provided to companies operating in the cryptocurrency space by the New York State Department of Financial Services [NYSDFS]. He said:

“[…] without a license, you can’t get a banking relationship and you can’t accept deposits of fiat. So, you can’t start your company. So, we think that regulation has been a big boom to New York. It’s brought in a lot of companies […] We would have gone to Alaska, if that was possible but it wasn’t. So we chose New York. So we think regulation has been a big win for New York State.

This was followed by Cameron Winklevoss speaking about whether Gemini is looking for more guidance and regulation from other regulatory bodies including the U.S Securities and Exchange Commission. He said:

“Well, I think the idea is thoughtful regulation. So we’ve been working on the virtual commodity association, which is an SRO to help self-police virtual commodity marketplace. And bring best practices from the equity’s world and the derivative’s world into the crypto world.”

He further stated that Gemini is not trying to “reinvent” the wheel, but is just taking these safeguard and protection measures and bringing it into the cryptocurrency space.