Recently approved by the New York State Department of Financial Services to offer the trading of Ether on its virtual currency exchange based in New York City, Gemini has started Ether trading.

Touted as the first licensed ether exchange in the world with its approval also making the NYSDFS the first regulatory agency in the world to supervise ether, Gemini stated on its blog site that the exchange will be offering ETH/BTC and ETH/USD trading pairs on two new order books.

In a blog post, Cameron Winklevoss, Co-Founder and President at Gemini, says:

“Our approval makes Gemini the first licensed ether exchange in the world. It also makes the NYSDFS the first regulatory agency in the world to supervise ether, reaffirming their position as the leading financial regulator in the area of digital assets.”

Money laundering and cyber security threats

Virtual currency regulation has been a thorny subject – not only in the US – but globally. A series of policies are being considered by governments as a potential measure against money laundering and other cyber security threats.

While announcing the approval, Governor Andrew M. Cuomo says:

“This action continues New York’s long tradition of pioneering new innovations and emerging industries. With robust regulatory oversight, we are maintaining our status at the forefront of this technological revolution and ensuring that users have a safe and secure experience.”

Future of virtual currency in New York State

Acting Department of Financial Services Superintendent Maria T. Vullo says:

"Through smart and careful regulation, New York State continues to flourish as a virtual currency leader in the global marketplace. DFS will continue to encourage the development and long-term future of this growing industry.”

NYSDFS issued a charter to Gemini in October 2015 to operate a virtual currency exchange but only published the final virtual currency rules in June 2015, after almost a two-year inquiry into the appropriate regulatory guidelines.