The New York State Department of Financial Services (NYDFS) has announced new guidelines granting the primary regulator the authority to decide which cryptocurrencies can be listed or delisted. These “heightened standards” were introduced due to the maturation of the market.
In an official statement on November 15th, NYDFS Superintendent Adrienne A. Harris revealed that licensed crypto businesses looking to list a token must now submit their listing and delisting policies for approval. The regulator emphasized that a coin listing policy would not be approved without an accompanying coin delisting policy.
While crypto businesses are still able to list certain cryptocurrencies without listing and delisting policies, this exception solely applies to coins included on the NYDFS greenlist. Currently, the greenlist features prominent cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), and six stablecoins.
The new regulations also oblige crypto businesses to assess various risks, including regulatory, operational, legal, cybersecurity, and conflicts of interest, before listing a cryptocurrency.
Moreover, the updated regulatory framework prevents crypto exchanges from self-certifying privacy-focused cryptocurrencies without prior approval. Cryptocurrencies that are primarily designed to bypass laws and regulations or provide features intended to conceal the identity of individuals or entities are considered non-compliant.