US State Bank Regulators Agree to Single Set of Rules for Fintech, Crypto Firm Licensing
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Bank regulators in 48 U.S. states are to unveil a consolidated regulatory framework that will make compliance for cryptocurrency companies simpler.
- The Conference of State Bank Supervisors (CSBS), a coordinating body for state regulators, confirmed to Reuters the new regime for money service businesses (MSB) will introduce the same rules and standards across 48 states.
- This will streamline compliance, making it easy for MSBs, companies like Coinbase and Ripple, to work across multiple states, instead of going through the time and expense of getting regulated in each and every one.
- It isn’t clear yet what two states have decided not to participate in the consolidated framework.
- Officials from a handful of states will represent all 48 regulatory bodies under the new regime, which will apply to 78 MSBs, including Western Union and PayPal, that together move a reported $1 trillion annually.
- Speaking to Reuters, John Ryan, CSBS’ president and CEO, said the framework will be just as robust, but much more efficient, at enforcing state regulation.
- The CSBS is expected to unveil the new regulatory regime sometime on Tuesday.
