New York financial regulator Benjamin Lawsky today announced his revisions to the proposal for bitcoin regulations outlined in the BitLicense documents released earlier this year. Having initially drawn criticism from the digital currency community, Lawsky agreed to take another look at the details and announced the revisions today.
The initial subject addressed was who would be required to obtain a BitLicense – namely only financial intermediaries. This means developers, miners and individuals who hold BTC for personal retail or investment use will not be required to get a BitLicense.
Also announced was the reduction of record keeping timeframe requirements for BitLicense holders – cut from 10 years to 7 years – and that this information is only required for their own customers or account holders.
To note some select quotes from Lawsky’s speech:
We believe that these proposed changes are sensible and help us strike an appropriate balance between permitting innovation to proceed, while at the same time strongly protecting consumers and helping root out illicit activity.
Relating specifically to a two-year transitional license available for startups before they must be fully regulated:
That transitional BitLicense will help provide startups an on-ramp as they build up their operations.
The full framework is scheduled for release in January. What do you think? A step in the right direction or still unnecessary policymaker involvement? Let us know…