The collapse of the FTX exchange prompted the New York banking regulator to step up its oversight of the sector to protect consumer assets by scrutinizing banks providing crypto services.
The New York State Department of Financial Services (NYDFS) issued a set of regulations for the crypto industry requiring banks to submit a business plan at least 90 days in advance if they wish to provide crypto services.
Moreover, the regulator will begin to consider what exactly banks want to offer in this area, assessing their risk management, consumer protection, corporate governance and supervision. Legal and regulatory analysis will also be carried out.
According to NYDFS Superintendent Adrienne Harris, all regulators should communicate their initiatives and regulatory changes in time so that the financial sector can prepare.
“Entities already involved in cryptocurrencies will be required to notify their contact person within the Department immediately if they have not already done so. The regulator will request additional information or clarification and, if necessary, will put forward supervisory requirements, ”the statement says.
Earlier, the Attorney General of New York sent a letter to members of the US Congress – in which she urged not to allow changes in the country’s legislation and not to give crypto assets a wide distribution.
Source: Bits
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