What is CoinX, and how does it differ from other companies in the space?
Payments
Asked by Question Bot12/Jan/20151 answer
1 Answer
F
Faisal Khan
Answered 12/Jan/2015
CoinX (Money Transmitter Licenses - Bitcoin Exchange |) Is a fintech startup based out of Atlanta, GA.
They are no different from any other Bitcoin exchange when it comes to the pure exchange portion of it. Where we do enjoy an advantage at present, is that we are licensed in 40+ US States as a Money Transmitter for our Bitcoin Exchange.
This puts us squarely at the time of this writing, the only Legal and Licensed Bitcoin Exchange operating in the US.
There is a lot of talk by other exchanges that they are regulated or compliant, so I would like to address that.
If you ask someone a question, is the banking industry regulated, the answer is obviously Yes. If someone opens a bank, and says "we are regulated" what exactly are they saying?
What they are saying is, we (the banking industry) are regulated. In no particular manner are they implying that they have a license. Sort of fooling you with English and legal speak.
Most of the Exchange who claim they are regulated, have only a FinCEN registration. That everyone can get, by merely filling in a form. Even you can get it.
What is needed however, are the US Money Transmitter Licenses from the department of financial services/institutions (or equivalent) from every exchange. That is the differentiator.
FinCEN's recent ruling says, if you pick up clients in the US, whether your exchange is in the US or not, you need to have Money Transmitter Licenses. (Another FinCEN ruling has classified Exchanges, Brokers and Payment Processors) in the Bitcoin space as MSB, so they now need to get licensed.
Between legal and illegal, we are the only legal bitcoin exchange at the time of this answer in the US.
They are no different from any other Bitcoin exchange when it comes to the pure exchange portion of it. Where we do enjoy an advantage at present, is that we are licensed in 40+ US States as a Money Transmitter for our Bitcoin Exchange.
This puts us squarely at the time of this writing, the only Legal and Licensed Bitcoin Exchange operating in the US.
There is a lot of talk by other exchanges that they are regulated or compliant, so I would like to address that.
If you ask someone a question, is the banking industry regulated, the answer is obviously Yes. If someone opens a bank, and says "we are regulated" what exactly are they saying?
What they are saying is, we (the banking industry) are regulated. In no particular manner are they implying that they have a license. Sort of fooling you with English and legal speak.
Most of the Exchange who claim they are regulated, have only a FinCEN registration. That everyone can get, by merely filling in a form. Even you can get it.
What is needed however, are the US Money Transmitter Licenses from the department of financial services/institutions (or equivalent) from every exchange. That is the differentiator.
FinCEN's recent ruling says, if you pick up clients in the US, whether your exchange is in the US or not, you need to have Money Transmitter Licenses. (Another FinCEN ruling has classified Exchanges, Brokers and Payment Processors) in the Bitcoin space as MSB, so they now need to get licensed.
Between legal and illegal, we are the only legal bitcoin exchange at the time of this answer in the US.