The Conference of State Bank Supervisors (CSBS), an organization of state financial regulators, will make it easier for financial technology payment firms and cryptocurrency exchanges to prove they’re in compliance with U.S. state laws.
The CSBS announced a “One Company, One Exam” plan Tuesday whereby states will coordinate their supervisory exams for the nation’s largest payment firms in an effort to reduce the costs on both state regulators and the companies they oversee. Essentially, the exam is how these regulators will make sure regulated entities are still in compliance.
What this means for cryptocurrency companies – such as Coinbase – is their compliance costs will drop. Rather than work with more than 50 different state and territory regulators, the exchanges only need to check in with the one group. The group of regulators includes every state but Montana, which doesn’t have a money transmission license.
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