New York Banks are now likely to list and custody stablecoins, Binance USD after it has been approved by the New York Financial Department of Financial Services in a recent announcement.
The approval handed by NYDFS will mean that the banks based in New York can now use the asset without requiring any further approval from the regulatory watchdog, apart from a heads up notification.
A Finance’s compliance offer mentioned that, the many licensed institutions will be allowed to move in on BUSD promptly after they wish to do so.
“If tomorrow, JP Morgan decides to use BUSD, they can and do so immediately.”
Binance here as mentioned that NYDFS approved it back in September 2019 during the launch but a further approval was required for exchanges before they could list the Stablecoin.
Binance has partnered with New York-based Paxos Trust Company to launch Binance USD Stablecoin.
“We hope to unlock more financial services for the greater blockchain ecosystem through the issuance of BUSD, including more use cases and utility through the power of digital assets,” the exchange CEO Changpeng Zhao said.
The Stablecoin is pretty handy for the users as it allows them to purchase digital dollars at zero buying and redeeming fees.