Coinbase, Coinbase Pro, and Gemini are the only crypto exchanges ranked in the top 10 that are licensed to work in New York.
Contents
- Crypto in New York
- What is the New York Bitlicense?
- Is it illegal to use a crypto exchange that is not licensed in New York?
- New York Crypto Exchanges with a Bitlicense: Comparison Table
- What about the other popular crypto exchanges? Will they still work in New York?
- Crypto Exchanges in New York F.A.Q.’s
- What is the best way to buy crypto in New York?
Crypto in New York
If you are new to crypto investing and living in New York, you may not be aware that New York introduced the BitLicense in 2015 which means any company wanting to buy, sell, store, or issue a virtual currency, like crypto, would need a license. Most of the top 10 crypto exchanges do not have a Bitlicence and are therefore they are not available to customers based in New York!
Exchange Score is taken from the Coin Market Cap website.
What is the New York Bitlicense?
Anyone who wishes to carry out regulated cryptocurrency-related transactions within the state of New York must have a BitLicense issued by the New York State Department of Financial Services.
Currently, No other U.S. state has taken such a proactive approach to licensing crypto.
Is it illegal to use a crypto exchange that is not licensed in New York?
Our research suggests that it is not currently illegal for a buyer to use an unlicensed Exchange in New York. It is the exchange that is at fault for selling to you.
However, platforms that may then be forced to close their services may not give much warning to affected customers before closing accounts!
This means you could lose access to your crypto held on the exchange, or suffer financially from having to move your crypto assets in an unplanned way.
You should do your own research as the crypto world changes quickly. Crypto companies are currently building a lobbying army to influence state-level regulation.
New York Crypto Exchanges with a Bitlicense: Comparison Table
COINBASE | COINBASE PRO | GEMINI | |
No of coins | 150+ | 150+ | 63 |
Exchange score | 8.4 | 8.4 | 6.9 |
Payment methods | Bank Transfer; Debit Card ( 3.99%); Wire transfer (fee $10) Paypal; Apple Pay; Google Pay | Bank Transfer; Debit Card ( 3.99%)Wire transfer(fee $10); Paypal; Apple Pay; Google Pay | Bank Transfer; Debit Card (3.49% fee); Wire transfer; |
Interface | Beginner friendly | Advanced Tools | Beginner friendly |
Verification required | KYC | KYC | KYC |
Transaction Fees | 1.49% | 0.00% to 0.60% | Fee of $0.99 to $2.99 based under $200 1.49% for trades over $200, |
Security Features | 2FA via SMS or authenticator app. Cold storage and multi-signature wallets USD balances are FDIC insured (up to $250k) | 2FA via SMS or authenticator app. Cold storage and multi-signature wallets USD balances are FDIC insured (up to $250k) Whitelisting pre-approved addresses | 2FA, FDIC-insured USD balances up to $250k; Gemini Wallet digital insurance, U2F security with a hardware key, and cold storage |
Transactions Supported | Buy, sell, send, receive, and exchange | Buy, sell, deposit, withdraw, trade, stop order, time in force order, and limit order | Buy, sell, trade, deposit, and withdraw |
What about the other popular crypto exchanges?
Will they still work in New York?
Crypto Exchanges in New York F.A.Q.’s
What is the best way to buy crypto in New York?
Despite the restrictions of the BitLicense, if you’re looking to buy crypto the safest and easiest way to do so is still via an exchange.
Coinbase Pro has the lowest fees and supports the greatest number and types of transactions. however, if you are a beginner, you may prefer to open a Coinbase account first and move your assets over to a Coinbase Pro account when you become more confident and wish to use more advanced trading tools.
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