The New York State Department of Financial Services (DFS) announced on Thursday the permission for Robinhood, the stocks and crypto trading app, to operate in the state of New York.
The app which launched commission free crypto trading in Feb 2018, now has permission to allow trading in seven cryptocurrencies. These include Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC) and Bitcoin Cash (BCH). Additionally, Robinhood, which launched with more than a million subscribers, was granted a money transmission license.
Robinhood announced on its website:
As we introduce new financial products, we’re committed to partnering with regulators to ensure compliance with industry requirements. Today’s announcement is evidence of this commitment.
We’re excited to bring commission-free cryptocurrency trading to New York, and look forward to coming to more states soon.
Currently, the Robinhood app, which is available on mobile or desktop is available in 30 North American states with plans for further expansion in the U.S.
The summer of 2018 saw unsubstantiated reports surfaced, saying Robinhood was looking to secure a banking license in the U.S. There has also been talk that the team behind the app are in the early stages of sounding out an IPO (Initial Public Offering).
Reuters recently valued the California based company at $5.6 billion. The high price is an indication of growth, success and expansion plans. As well as being an online brokerage platform enabling commission free trading of stocks, ETFS and now seven cryptos, Robinhood, December 2018, launched its own U.S. savings and checking accounts, coming with a debit card and requiring no minimum balance to open.
LibertyX Also Granted License
Bitcoin (BTC) ATM provider LibertyX also received a BitLicense from the New York State Department of Financial Services (DFS). The Boston-based company will be the first licensed company to enable residents to purchase Bitcoin (BTC) using debit cards through traditional ATMs.
Since launching in 2015, the NYDFS has now granted 16 companies virtual currency licenses.
