Poloniex and Bitfinex will stop business in Washington


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nnIn the wake of Senate Act No. 5031, both digital currency exchanges Bitfinex and Poloniex have announced that they will cease operations in Washington State because the bill requires that all currency exchanges in Washington, including virtual currency operators, Permit to operate. Bitfinex and Poloniex believe that this regulation is not conducive to its effective service to customers. But some want to operate in Washington, the exchange has been in accordance with the provisions of the approval.n
nnTranslated by: Inan
nMajor digital currency exchanges Bitfinex and Poloniex announced at the end of March and July 2017, respectively, that they would cease operations in Washington State after Senate No. 5031 or the Uniform Monetary Service Act was enacted.n
nHowever, despite the new regulation to begin, some digital currency exchanges still want to do business in the state.n
nGemini is one of them, the exchange has been approved and licensed, can operate in the state, allowing its customers in Washington to buy and sell virtual currency.n
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nThe transaction is subject to permission to operaten
nThe bill aims to regulate the country’s currency exchanges, including virtual currency operators.n
nPoloniex and Bitfinex said the new rules do not seem to support their goals so that they can not effectively serve customers.n
nBitfinex March is present at the time of execution.n
nnImportant: Americans are not allowed to fund financing on our website. In addition, residents of New York and Washington State are prohibited from accessing funds or transactions on our website. “n
nnPoloniex’s announcement on its website is as follows:n
nn”After careful consideration of the financial services regulations of the Washington Financial Services Department, Poloniex will suspend the Washington account to create a separate account until the Washington account customers will receive an email that will guide you to step down your business.”n
nnUnder the Act, any entity or individual who wishes to operate a digital currency exchange in that state should apply for a license and sign a contract with a third party auditor to monitor and inspect its system to ensure its transparency and completeness.n
nThe exchange should also issue bonds, the amount of which is based on the amount of currency traded on the previous year.n
nThe new bill provides that:n
nn”In a business model that represents a virtual currency for others, the applicant must provide a third party security audit of all electronic information and data systems acceptable to the person in charge.”n

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