Share this article
NYDFS: Coinbase Is Not Licensed in New York
The NYDFS has issued a response to questions about the regulatory status of Coinbase's recently launched bitcoin exchange.
By Pete Rizzo
Updated Apr 10, 2024, 3:08 a.m. Published Jan 28, 2015, 5:23 p.m.
Make us preferred on Google
The New York State Department of Financial Services (NYDFS) has issued a new statement indicating Coinbase has not yet secured a license to operate in New York.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
The remarks, relayed by a spokesman to The New York Times, suggest that the department, which is currently working on a final version of its BitLicense regulation, is still in talks with Coinbase about its legal status in the state, but that no decisions have been finalized.
The NYDFS spokesman said:
“We are working with several companies, including Coinbase, on licensing and will continue to move forward expeditiously. That said, we have not yet issued any licenses to virtual currency firms.”
The Times also received a statement from Coinbase co-founder Fred Ehrsam in which he stated the company will “continue to work” with the NYDFS as it finalizes its BitLicense proposal.
Coinbase has indicated that it believes it is operating in a “gray area” in New York and California due to the fact that both states have yet to decide on how to move forward with bitcoin-specific regulation.
The publication went on to speculate that such actions, while not inconsistent with the development of tech companies, could set back efforts to improve bitcoin’s reputation with the public. The company is also not facing any monetary penalities at this time for its actions, the Times suggested.
The statements notably follow a consumer alert from California’s money transmitter regulator, the Department of Business Oversight (DBO), to the people of California, in which it said that Coinbase is not licensed or registered to serve state consumers.
A final version of the BitLicense is expected to be released in January.
New York court image via Shutterstock
More For You
KuCoin captured a record share of centralised exchange volume in 2025, with more than $1.25tn traded as its volumes grew faster than the wider crypto market.
What to know:
- KuCoin recorded over $1.25 trillion in total trading volume in 2025, equivalent to an average of roughly $114 billion per month, marking its strongest year on record.
- This performance translated into an all-time high share of centralised exchange volume, as KuCoin’s activity expanded faster than aggregate CEX volumes, which slowed during periods of lower market volatility.
- Spot and derivatives volumes were evenly split, each exceeding $500 billion for the year, signalling broad-based usage rather than reliance on a single product line.
- Altcoins accounted for the majority of trading activity, reinforcing KuCoin’s role as a primary liquidity venue beyond BTC and ETH at a time when majors saw more muted turnover.
- Even as overall crypto volumes softened mid-year, KuCoin maintained elevated baseline activity, indicating structurally higher user engagement rather than short-lived volume spikes.
More For You
How a 'perpetual’ stock trick could solve Michael Saylor’s $8 billion debt problem
The bitcoin treasury firm is using perpetual preferreds to retire convertibles, offering a potential framework for managing long-dated leverage.
What to know:
- Strive upsized its SATA follow on offering beyond $150 million, pricing the perpetual preferred at $90.
- The structure offers a blueprint for replacing fixed maturity convertibles with perpetual equity capital that removes refinancing risk.
- Strategy has a $3 billion convertible tranche due in June 2028 with a $672.40 conversion price, which could be addressed using a similar preferred equity approach.
Top Stories
