Companies Should Separate Clients’ Crypto Assets From Their Own: NYDFS

Companies Should Separate Clients’ Crypto Assets From Their Own: NYDFS

#Companies #Separate #Clients #Crypto #Assets #NYDFS

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It’s crazy to me that it even needs to be said… Maybe regulation will help with it a little bit.


Yes . We always see customers funds moved mistakenly , not the companies funds .


All these points are solid IMO

>It is expected that a VCE Custodian will not co-mingle customer virtual currency with any of the VCE Custodian’s own virtual currency.

>They should also release records and maintain a “clear internal audit trail”

>Custodians should not use users’ crypto assets to settle separate financial services, such as guaranteeing an obligation or extending credit. 


tldr; The New York State Department of Financial Services (NYDFS) has issued guidance to state-regulated companies on how they should better protect clients in the event of potential insolvency. The watchdog argued that co-mingling funds could trigger a significant financial loss for investors. It also insisted that entities should maintain enhanced control of their customers’ holdings.

*This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR.*


Y E S !


That goes without saying


No shit.


This is should mandatory and. Surprised it isn’t. The temptation to use is always there.


This is totally how it should be but bro, “I was drunk and I mistakenly mixed them judge”- CZ

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