Categories: News

Large Bitcoin exchanges halt their activity in New York following negative framework

While there are countries such as the United Kingdom and Australia showing a ton of support towards Bitcoin integration, there are also certain regions which seem to be against it. One example is New York, where recent legislative framework requires all bitcoin-related business to pay the sum of $5,000 for what’s known as a Bitlicense.

In response to this abusive law, two of the largest Bitcoin exchanges in the world have decided to halt their services instead of complying with the state’s newly imposed laws. You may be thinking that $5,000 isn’t a lot of money for these companies and you are right. However, this is more of a protest move, as both Kraken and Bitfinex are strongly against laws imposed upon digital currencies. Regardless of this, the sum might still turn out to be a lot for start-up bitcoin-companies; therefore action should be taken against this framework.

Related Post

In a press release, Kraken said: “While we’re sure that the protection from New York law enforcement is valuable, it comes at a price that exceeds the market opportunity of servicing New York residents”. CoinDesk also went ahead and reported that a couple of well-capitalized Bitcoin exchanges such as itBit, Bitstamp and Gemini will opt for the BitLicense, whereas smaller businesses have stated that they will halt their efforts of reaching customers over in New York.

What are your personal thoughts on the oppressive anti-bitcoin measures that New York is adopting? What if other states started following this negative example? Will Bitcoin companies stand down and let themselves be controlled by the government? Let us know your thoughts in the comment section below.

Daniel Dob

Daniel is a bitcoin investor and journalist for numerous news outlets in the financial sector. When he's not writing, trading, or interviewing people, you can find him swimming, reading or taking one of his hobbies to the next level.

Share
Published by
Daniel Dob

Recent Posts

10 Trusted Cloud Mining Platforms to Earn Free Bitcoin Daily in 2026

  Cloud mining continues to gain massive traction as 2026 inches closer. In tough economic…

8 hours ago

Jupiter Pushes Onchain Finance Forward With Its Biggest Upgrade Wave Yet

Solana Breakpoint wasn’t just another conference this year. It doubled as a stage for Jupiter…

23 hours ago

Ripple Payments Lands First European Bank With AMINA Bank AG

Ripple has scored a major regulatory milestone in Europe. AMINA Bank AG, a Swiss-regulated digital…

23 hours ago

a16z’s 2026 Crypto Vision: Stablecoins Surge, Tokenization Grows, and Asia Becomes the Next Battleground

a16z just dropped its annual report, and the message is clear: crypto isn’t slowing down.…

2 days ago

Ethereum Activates BPO-1 Upgrade, Boosting Blob Capacity and Expanding the Network’s Scaling Roadmap

Ethereum has activated BPO-1, a protocol adjustment that increases blob capacity per block from 6…

2 days ago

CryptoBench: AI Meets DeFi, Head-On

CryptoBench just landed. Developed by ChainOpera AI and Princeton AI Lab, under the guidance of…

3 days ago