Cryptocurrency payments company MoonPay announced an expansion of its regulated services after receiving a trust charter from New York’s Department of Financial Services (NYDFS).
The New York financial regulator granted MoonPay the trust charter, which will enable the payments company to offer crypto custody and over-the-counter trading services within the state. This approval signifies a significant step in MoonPay's compliance and service offerings.
MoonPay co-founder and CEO Ivan Soto-Wright stated that this regulatory approval will empower the company to strengthen its relationships with global financial institutions and broaden its existing regulated services. Previously, MoonPay had secured a BitLicense from the NYDFS in June, further establishing its operational legitimacy in New York.
MoonPay joins a group of prominent crypto and payments firms, including Ripple Labs, Coinbase, and NYDIG, that have obtained both a trust charter and a BitLicense from the New York financial regulator. Coinbase and Ripple have also pursued a federal trust charter with the US Office of the Comptroller of the Currency, though a decision from the banking regulator was pending as of Tuesday.
Focus on Stablecoin Infrastructure Amidst Regulatory Developments
The recent enactment of the GENIUS Act in the US, which establishes a regulatory framework for payment stablecoins, has prompted several crypto companies to enhance their stablecoin-related services.
Although the GENIUS Act has not yet officially taken effect, MoonPay revealed on November 13th its launch of an initiative designed to facilitate the issuance and distribution of stablecoins by third-party issuers.
The evolving stablecoin landscape appears to be influencing traditional finance companies as well. In July, Visa announced an expansion of its stablecoin offerings for institutional clients. Furthermore, Bank of America CEO Brian Moynihan reportedly indicated that the bank was exploring the possibility of creating its own stablecoin in collaboration with other financial institutions.