Recent developments about the New York State Department of Financial Services
(Not affiliated with NYDFS; just a blog.)
At the Links 2022 Conference, NYDFS Superintendent Adrienne A. Harris stated that “the regulatory agency will triple the size of its virtual currency unit by the end of the year.” Its ambitious — but much needed. Superintendent Harris “said her agency is working to hire additional staff and update its guidance to better deal with … Read more
NYDFS issued guidance concerning the use of blockchain analytics by regulated cryptocurrency firms. NYDFS stated: “The purpose of this guidance … is to emphasize to all virtual currency business entities that are either licensed under 23 NYCRR Part 200 or chartered as a limited purpose trust company … the importance of blockchain analytics to effective policies, … Read more
In an in-depth look at NYDFS Superintendent Adrienne A. Harris, titled, “Crypto’s Most Powerful Regulator is Here,” New York Magazine (nymag.com) elicits important information concerning her vision and approach to cryptocurrency regulation is included, including her view that NYDFS may attempt to regulate DEFI “lending and asset management.” The article may be found here: https://nymag.com/intelligencer/2022/03/adrienne-harris-is-cryptos-most-powerful-regulator.html
According to NYDFS: “As part of DFS’s work to become a leading, data-driven regulator of the global financial services sector, the Department has been assessing a number of technology tools and service providers to augment current supervisory capabilities. Accelerating the procurement process is a critical step to strengthen the Department’s ability to enforce anti-money laundering … Read more
In light of the Russian invasion of Ukraine, NYDFS issued an advisory concerning compliance issues relating to cybersecurity, cryptocurrency and sanctions. Press release found here: https://www.dfs.ny.gov/industry_guidance/industry_letters/il20220225_ukraine_escalation_impact_financial
Important industry cooperation among some lead players in crypto in setting compliance standards, called “T.R.U.S.T.” Press release here: https://www.coinbase.com/blog/introducing-the-travel-rule-universal-solution-technology-trust
NYDFS Superintendent Adrienne A. Harris sat down for a fireside chat with the Brookings Institution’s Center on Regulation and Markets. Here are some takeaways: – On Enforcement: NYDFS will be focusing enforcement on “kitchen table” issues. – On Cybersecurity: NYDFS is working on updating and improving its cybersecurity regulation. – On Climate Change: NYDFS will … Read more
Interesting take in pymts.com on NYDFS Crypto Regulation: “NYDFS will not only remain relevant as the regulator of the largest financial center in the world, but as the obvious yardstick against which proposed national rules are measured.” Article is found here: https://www.pymnts.com/cryptocurrency/2022/in-adrienne-harris-nydfs-getting-firm-but-friendly-crypto-regulator/
Want to know what’s on the mind of NYDFS Superintendent Adrienne Harris? Interesting discussion including re: crypto, fintech, the Community Reinvestment Act, and cannabis during her confirmation hearing in the NYS Senate, link here: https://www.nysenate.gov/calendar/meetings/insurance/january-24-2022/insurance-meeting
NYDFS has appointed Peter Marton as its new Virtual Currency Chief. He serves as Deputy Superintendent of the Research and Innovation Division. More here: https://www.coindesk.com/policy/2022/01/06/nydfs-hires-new-deputy-superintendent-of-virtual-currency/