On August 28, 2023, X (formerly Twitter) announced that they have received official permission for crypto in Rhode Island. This means that the company can store, transfer and sell cryptocurrencies such as bitcoin, ethereum and other digital assets. The crypto license is issued by the Rhode Island Department of Business Regulation (DBR) and gives X the right to offer its services to the residents of the state.
X is not the first company to get a crypto license in Rhode Island. DBR has previously approved other players such as Coinbase, Gemini, Paxos and BitPay. DBR has also introduced a new regulation called the Rhode Island Money Transmitter Act (RIMTA), which aims to promote innovation and competition in the crypto sector, while protecting consumers and combating money laundering.
Why is this important?
That X gets a crypto license in Rhode Island is a step forward for the crypto industry and shows that the authorities are becoming more open to innovations in this area. It can also help to increase the adoption of cryptocurrencies among the public, as X has a large and engaged user base that can benefit from the new opportunities offered by the crypto services.
Plans for expansion
X also has plans to expand its business to other states and countries. The company has already received similar licenses in other states such as Wyoming, New York and Georgia. In addition, X has recently applied for a banking license in Wyoming, which would allow the company to offer traditional banking services in combination with crypto services.