The Gemini Trust Co. exchange, founded by star internet entrepreneurs Tyler and Cameron Winklevoss, has been authorized by the state of New York to offer Zcash trading options. The move has made Gemini into the world’s first officially licensed Zcash exchange.
Gemini is expected to begin accepting Zcash deposits on May 19. Trading will begin three days later.
Boom!! Gemini announces support for Zcash! https://t.co/xY0fX3dFjv
— Electric Coin Company (@ElectricCoinCo) May 14, 2018
“We are proud be the first licensed exchange in the world to offer Zcash trading and custody services and look forward to providing customers with a safe, secure, and regulated place to buy, sell, and store Zcash,” said Tyler Winklevoss with regards to the announcement.
Zcash is a cryptocurrency that has branded itself as “[setting] a new standard for privacy through the use of groundbreaking cryptography.”
According to a Reuters report, the New York state’s Department of Financial Services has also approved Gemini’s request to offer crypto custody services as well as Bitcoin Cash and Litecoin trading options in the future.
New York’s Regulatory Efforts Continue
Gemini was one of 13 cryptocurrency trading platforms asked to provide in-depth information about their business and security practices to the New York Attorney General’s office last month.
New York state has been described by many as one of the most advanced states in the union when it comes to cryptocurrency regulations, mostly due to the state’s BitLicense program. On the other hand, the program has been criticised for being overly restrictive and too expensive for startups.
Software developer Steve B told CoinDesk in a February report that “For large [companies], the costs [associated with BitLicense acquisition] are coffee money, for a small business the costs are crazy. The requirements are not practical.”
It does seem as though reform of the BitLicense program may be imminent. In fact, New York State Senator David Carlucci said in February that reformative measures could be introduced “very soon.”
Speaking about the addition of Zcash to Gemini, Financial Services Superintendent Maria Vullo said that “with smart and thorough regulatory oversight, the development and long-term growth of the industry will remain thriving.” We can only hope that New York’s future regulations effectively foster the blockchain industry within the state.