BitLicense (New York)
New York Department of Financial Services’ licensing requirement for virtual currency businesses, including stablecoin issuers, with enhanced blockchain analytics in 2025.
What is BitLicense (New York)?
The BitLicense, administered by NYDFS since 2015, requires entities engaging in digital asset activities like stablecoin issuance to obtain approval, with 2025 expansions applying blockchain analytics expectations to banks for monitoring. In 2025, approvals like Bullish’s BitLicense and settlements with issuers for compliance failures underscore strict reserves and AML rules for USD-pegged stablecoins. The regime complements federal laws like the GENIUS Act, ensuring stablecoins meet oversight for consumer protection and financial integrity.
Related Terms
Rollup Validity Proof
A security mechanism for Layer 2 solutions that verifies batched transactions off-chain using cryptographic proofs submitted to the main blockchain.
Spread
The difference between the highest bid price and the lowest ask price in an order book.
Liquidity (DEX)
Liquidity on a decentralized exchange (DEX) refers to the pool of digital assets locked in smart contracts, enabling seamless token trading by ensuring sufficient supply and demand for transactions.
Liquidity Fragmentation
The dispersion of liquidity across multiple pools, chains, or exchanges, leading to inefficient pricing and higher costs.
NFT and NFT Marketplace
Unique digital tokens (NFTs) on Ethereum representing ownership of art, collectibles, or utilities, traded on marketplaces like OpenSea and Blur.
Meme on Solana
Humorous digital assets on the Solana blockchain, often inspired by internet memes, leveraging low fees and high speed for rapid launches and trading.