Regulators set sights on Bitcoin

NY State regulators will hold hearing to evaluate considerations for the virtual currency

In an effort to assess and mitigate any risks associated with its use, virtual currency Bitcoin will soon face a federal hearing from regulators in New York, says a memo issued by the Department of Financial Services Nov. 14. Regulators will examine whether or not a special license should be required to use Bitcoin and will consider additional regulations that could stop it from being used for illegal activity.

While a hearing date has not yet been decided, New York State Department of Financial Services Superintendent Benjamin Lawsky said in the statementthat the anonymous and unregulated nature of virtual currencies could facilitate illegal activity. The potential for questionable transactions and money laundering has prompted this inquiry.

Executive Editor

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Chris DiMarco

Chris DiMarco, Executive Editor of InsideCounsel magazine, has a background in multimedia production with previous involvement in projects in which he developed and created content...

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