The New York State Department of Financial Services (DFS) announced Monday that it has approved the application of Square, Inc., for a virtual currency license. This will give New York state residents the ability to buy and sell bitcoin through its Cash App.
Square provides tools that help sellers start, run, and grow their businesses. Square’s hardware enables sellers to accept credit card and contactless payments.
As part of the screening process, DFS said it conducted a comprehensive review of Square’s application, including the company’s anti-money laundering, anti-fraud, capitalization, consumer protection, and cybersecurity policies.
With the Square approval, DFS has now approved nine firms for virtual currency charters or licenses, while denying those applications that did not meet DFS’s standards.
DFS has also granted licenses to Xapo, Inc., Genesis Global Trading Inc., bitFlyer USA, Coinbase Inc., XRP II and Circle Internet Financial, and charters to Gemini Trust Company and Paxos (formerly itBit Trust Company).
“DFS is pleased to approve Square’s application and welcomes them to New York’s expanding and well-regulated virtual currency market,” said Superintendent Maria Vullo. “DFS continues to work in support of a vibrant and competitive virtual currency market that connects and empowers New Yorkers in a global marketplace while ensuring strong state-regulatory oversight is in place.”