THELOGICALINDIAN - Erik Voorheesled Bitcoin barter ShapeShift has absitively to shut bottomward its New York City operations agitation the afresh appear Bitcoin regulations CNBC appear today
The final BitLicense adjustment demands that Bitcoin businesses almanac claimed advice of its users (through the KYC norm) and the cryptocurrency swapping abode is not adequate actionable its action of not autumn any claimed advice of its customers.
ShapeShift CEO Erik Voorhees told CNBC that, “We either would accept to do article we’re not adequate with or leave New York. It’s a moral and ethical angle we’re activity to take.”
The abominable account comes aloof a day afterwards the architect launched aboriginal iOS Bitcoin trading app at the Apple’s World Wide Developers Conference (WWDC). At the barrage of the app, the ShapeShift architect had said,
“ShapeShift does not abundance any bill or user information, thereby eliminating the accident of users’ funds actuality compromised in a Mt. Gox-type attack. The aforementioned aegis attempt will administer to the anew alien adaptable app as well.”
The “Know Your Customer” barometer has been imposed aloft the Bitcoin companies to barrier the use of Bitcoin in counterfeit activities, money bed-making and allotment of agitator activities. Voorhees believes that such affidavit are not acute abundant to betrayal the claimed advice of its admired barter to a abeyant abstracts breach.
The New York Department of Financial Services (NYDFS) is, however, not amused. An bearding agent for the Department said,
“We consistently accustomed that there is activity to be some allotment of this association that is adjoin alike appealing accepted banking authoritative blank measures, such as anti-money bed-making controls and added customer protections.”
ShapeShift is accommodating to abet but …
Erik Voorhees said that the authoritative bodies can access the aggregation to aggregate advice and that, he would be accommodating to accommodate wallet addresses, IP logs and advice on accessories used, but won’t budge on chump names and addresses.
The architect is alike accommodating to booty a 1 percent aggregate hit afterward this abominable decision.
This is an adverse development that New York will lose one of the best Bitcoin companies.
