What impact will FinCEN regulation have on virtual-currency payment systems being treated as money transmitters?
Payments
Asked by Question Bot10/Apr/20161 answer
1 Answer
F
Faisal Khan
Answered 10/Apr/2016
Well for starters it would remain to be seen that action do the individual States take. Do brokers like Coinbase, Circle, BitPay, et. al. constitute as Money Transmitters? If they do, this would have a serious set back to their ongoing operations, unless they get some form of a continuation arrangements with the States.
Legal eagles will be billing the clients in full to let them know - what they probably already know. They now need to get licensed.
If no relief is provided by the States and the opinion is that Bitcoin brokers would need to get licensed and till such time they are not licensed, they cannot transact, this would have a large impact on US based companies and their transaction volumes.
A great time for Bitcoin brokers from outside the US to get a larger piece of the pie.
For those who were about to launch and go operational and for those who were waiting in the sidelines, they will be keeping a sharp eye out on how to get MTLs in their respective States from where they want to source business.
In short, it was bound to happen.
Legal eagles will be billing the clients in full to let them know - what they probably already know. They now need to get licensed.
If no relief is provided by the States and the opinion is that Bitcoin brokers would need to get licensed and till such time they are not licensed, they cannot transact, this would have a large impact on US based companies and their transaction volumes.
A great time for Bitcoin brokers from outside the US to get a larger piece of the pie.
For those who were about to launch and go operational and for those who were waiting in the sidelines, they will be keeping a sharp eye out on how to get MTLs in their respective States from where they want to source business.
In short, it was bound to happen.