New Jersey Introduced A State-Level Licensing Scheme To Regulate Crypto Firms
The New Jersey state of America introduced a state-level licensing scheme to regulate Cryptocurrency firms, reported on 24 February 2020.
According to the report, the Digital Asset and Blockchain Technology Act is presented by Assemblywoman Yvonne Lopez on 20 February 2020. The legislation introduced new requirements for the cryptocurrency firms in order to reduced the risk for the consumers. All crypto firms need to reveal their policies for Anti-Money Laundering (AML) and Anti-Terrorist Financing (ATF) and all their legally registered names as well as their licensing and legal history to the State of New Jersey’s Department of Banking and Insurance.
“People see and hear about [Bitcoin] in their day-to-day lives, but most are not quite sure what it is. We must take steps to protect consumers looking to invest in cryptocurrency, while also allowing the sector to continue to develop and expand in New Jersey.”
– Assemblywoman Yvonne Lopez
The Crypto firms also need to reveal their terms and conditions for consumer accounts as well as need to provide their fee schedules and any information regarding the risks of investing in cryptocurrencies.
Recently, The central bank of Sweden Sveriges Riksbank starts testing its digital cryptocurrency named e-krona.
