When it comes to cryptocurrency, New York has been less than friendly to the idea of introducing it to the financial institutions. There have been several acts of restrictive regulations that have made the state a very hostile place for cryptocurrency, but there are some signs of progress that crypto is coming to the state.
A small local bank has begun to accept cryptocurrency clients and has been opening accounts for businesses that center their business around cryptocurrency. This is an extremely rare move in an otherwise barren and hostile environment for cryptocurrency in banking.
Quontic Bank in New York City is run by a pair of cryptocurrency enthusiasts and they have stated it to be their mission to educate their staff about dealing with cryptocurrency in a professional financial institution. They say that this is to provide the bank and its staff with a head start for when the banking industry begins to accept cryptocurrency-related transactions and clients on a wider scale.
While they hope to make a name for themselves as a crypto-friendly bank, they also acknowledge the challenges of being in compliance when it comes to banking and cryptocurrency. In New York and many other parts of the country, there are strict restrictions on what you can or cannot do when dealing with cryptocurrency in banking.
The most challenging part of these regulations has been, in the past, the KYC and AML regulations that are in place to prevent money laundering and other nefarious activity that people often associate with cryptocurrency.
Quontic Bank aims to continue its efforts to be a crypto-friendly bank while it also works on educating its staff and preparing for the possibility that the financial industry becomes much more friendly to crypto in the future.