Vaultoro refused to support Bitcoin Gold and SegWit2x

Bitcoin exhange Vaultoro co-founder stated that the company will not support Bitcoin hard forks due to lack of users protection
25 October 2017   2566

Vaultoro discarded its support for the New York Agreement (NYA) with Bitcoin, because SegWit2x developer Jeff Garzik proposed using opt-in replay protection, whether Vaultoro demands opt-out protection for its users. Opt-in replay protection means that it should be activated by users manually, and it is considered inconvenient and useless by the company.

What is more, Joshua Sigala wrote in Vaultoro blog on October 24 that at the moment the company does not support Bitcoin Gold hard fork either, because it is important for exchange platform to see that other platforms, services and wallets like, for example, BitPay support the hard fork too. Moreover, they are disappointed that the developers didn't make the code available for review so they will not be able to audit or review the code.

At the time of a fork, Vaultoro will snapshot every member's bitcoin holdings and if Vaultoro decides to support Bgold or any future altcoin released via a fork of bitcoin, customers will be able to withdraw the altcoin associated with their Vaultoro Bitcoin balances at the time of the snapshot.

Joshua Scigala
CEO, Vaultoro

It is also stated that they will continue to follow the development of forked coins and if new networks prove themselves to be safe and useful, Vaultoro may decide to support that asset at a later date.

New York State to Revise BitLicense Granting Terms

At the moment, BitLicense is the most stringent legal framework for the cryptocurrency industry
23 October 2019   14

The terms for granting the so-called BitLicense, the license required for cryptocurrency companies to work in New York State, will be reviewed. This was stated by the superintendent of the New York Department of Financial Services (NYDFS) Linda Lacewell, reports CoinDesk.

BitLicense is considered the most stringent legal framework for the cryptocurrency industry at the state level. In particular, companies are required to receive it for cryptocurrency transactions of New Yorkers, even if they themselves are based in other jurisdictions.

Last year, Kraken, a San Francisco-based exchange, chose not to receive BitLicense, but to completely leave New York. Earlier this year, the Bittrex exchange (Seattle) also left the state without licensing.

This is a good time to take a look, a responsible look and see how our regime is fitting the current market and … what if any adjustments should we think about making to continue to adapt to sort of a changing industry … that’s going to be one of the things that [we do].

Linda Lacewell

Superintendent, New York Department of Financial Services

At the same time, she called not to “be too happy” about possible changes in the rules for the cryptocurrency industry.

According to her, the current regulatory regime “works well,” but the industry has changed since 2015, when BitLicense was introduced.

How has the industry grown? Has it matured in any way? And I don’t want to get too specific, but you know, it’s a good time for a second look.

Linda Lacewell

Superintendent, New York Department of Financial Services

 Lacewell did not specify when the revision of licensing terms will be completed and what exactly industry participants can expect in the end.

Since the introduction of the license until June 2018, only 6 companies have received BitLicense, but over the past 20 months, after the regulator has softened its position, 16 more companies have been added to their number.