New York Shrinks List of Pre-Approved Crypto — DOGE, XRP Among Coins Removed

New York’s financial regulator has significantly reduced the number of pre-approved cryptocurrencies that licensed crypto trading platforms can list. XRP, dogecoin, litecoin, and ethereum classic are among the coins removed from the Greenlist. The regulator also proposed new crypto guidance that “heightens risk assessment standards for coin-listing policies and tailors enhanced requirements for retail consumer-facing businesses.”

New York Updates Crypto Greenlist

On Monday, New York State Department of Financial Services (DFS) Superintendent Adrienne A. Harris issued an update on the department’s “ongoing initiative to strengthen DFS oversight of virtual currencies.” The DFS also published an updated list of cryptocurrencies approved for all licensees to list or custody.

Any entity licensed or chartered by the DFS to conduct virtual currency (VC) business activity in New York “may list coins on the Greenlist without having a separate DFS-approved coin-listing policy,” the regulator detailed, noting that if a crypto entity decides to list a coin on the Greenlist, it must notify DFS at least 10 days prior to offering the coin in New York.

The list published on Monday comprises bitcoin (BTC), ethereum (ETH), Gemini dollar (GUSD), GMO JPY (GYEN), GMOUSD (ZUSD), Pax Gold (PAXG), Pax dollar (USDP), and Paypal dollar (PYUSD).

The DFS greenlist was previously much longer and included cryptocurrencies that were only approved for custody, listing, or both. In July, the greenlist comprised 0x (ZRX), aave (AAVE), bancor network token (BNT), basic attention token (BAT), Binance USD (BUSD), bitcoin (BTC), bitcoin cash (BCH), chainlink (LINK), dogecoin (DOGE), ethereum classic (ETC), ethereum (ETH), Gemini dollar (GUSD), GMO JPY (GYEN), kyber network (KNC), litecoin (LTC), livepeer (LPT), lumens (XLM), omisego (OMG), Pax gold (PAXG), Pax dollar (USDP), Ripple (XRP), synthetix (SNX), wrapped bitcoin (wBTC), and z.com USD (ZUSD).

The announcement further details:

Today’s proposed guidance for coin-listing and guidance on the general framework for Greenlisted Coins enhances the original framework issued by the Department in 2020.

According to the DFS, the guidance published on Monday “heightens risk assessment standards for coin-listing policies and tailors enhanced requirements for retail consumer-facing businesses.” It also “requires licensees to develop and submit to DFS for approval a coin-delisting policy that is compliant with this proposed guidance” and “updates the DFS Greenlist, the list of coins and tokens approved for all licensees to list or custody, and Greenlist process.” The proposed guidance is open for public feedback until Oct. 20, the announcement concludes.

What do you think about the updated list of greenlisted coins? Let us know in the comments section below.