The New York State Department of Financial Services has issued the 12th BitLicense for bitcoin ATMs operator Coinsource, according to CoinDesk.
We would like to sincerely thank the state of New York and the New York Department of Financial Services (@NYDFS) for granting us the first Virtual Currency License to a #Bitcoin ATM operator. pic.twitter.com/VgGNBALFOB— Coinsource (@Coin_Source) November 1, 2018
Coinsource, based in Texas, already has 40 terminals in New York, having worked until today under a pre-license. Coinsource general counsel Arnold Spencer noted that this is the first time a BitLicense was issued to the operator of Bitcoin ATMs, adding that its receipt indicated the correctness of the company's business model and compliance with all regulatory and legal requirements.
"It's been a long, involved process. The initial application was [in 2015, and] since then what we've seen is a great deal of diligence on NYDFS' part, really pushing us to both explain and in some cases improve our policies and procedures."
During this time, Coinsource has gone from a company with three employees and several ATMs to more than 20 employees and over 200 ATMs. The company is known for the fast operation of its ATMs through a proprietary system for user verification.
Currently, Coinsource customers can only buy and sell bitcoins, but can’t send them to other addresses. However, having a remittance license in 18 states, the company hopes that next year it will receive similar licenses in all other states.
Subscribe to our Telegram channel to stay up to date on the latest crypto and blockchain news.