BitLicense is a regulatory policy coming from New York State that will govern digital currency businesses. The decisions made regarding the policy are of high importance to the bitcoin community as it will be the first state to launch digital currency regulations. The implications for BitLicense as a result reach far beyond digital transactions within New York.
The four biggest “pain points” these people have with the most current version of the BitLicense—the version that most in the room feared will remain intact and become final—are: that the BitLicense may regulate bitcoin wallets, not just exchanges; that the BitLicense will require money-transmitters to get two different licenses in each state; that it will require licensed companies to get approval for new rounds of funding that substantively impact controlling interests; and that it appears to also require approval for every new product they launch. That latter point is of the utmost concern to bitcoin companies, which, like any tech companies, need to move rapidly to compete in the growing market. If approval is required for every new product.