New York banking regulator grants first charter to bitcoin company

New York: ItBit Trust Company, LLC, a bitcoin exchange, has been granted a charter under New York State’s banking law, becoming the first virtual currency company to receive a charter in the state, according to New York’s Department of Financial Services.

The exchange can begin operating immediately, but will be required to meet the obligations for both a trust company under New York law and upcoming “BitLicense” regulations, the state agency said.

New York`s Department of Financial Services is expected to issue final regulations to license bitcoin and other virtual currencies later this month.