Bitstamp Gets Payment Institution License from Luxembourg

In what is a major step for advancing Bitcoin Bitcoin While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that Read this Term adoption by the existing financial system, Luxembourg today granted the European bitcoin exchange Bitstamp a license as a fully regulated Payment Institution. Bitstamp has also announced that it is launching BTC/EUR trading, marking its connection to the continent.

The new world of online trading, fintech and marketing – register now for the Finance Magnates Tel Aviv Conference, June 29th 2016.

The license was signed by Luxembourg’s Minister of Finance Pierre Gramegna. He stated: “Luxembourg has a long-standing history as an international leader in innovation. That Bitstamp has chosen Luxembourg as its European hub only strengthens that reputation. I believe this announcement marks a milestone for bitcoin and digital finance in Europe. Bitstamp is a most welcome addition to Luxembourg’s fintech ecosystem.”

Glad to sign the payment institution license for @bitstamp, the latest addition to #Luxembourg's #fintech ecosystem pic.twitter.com/SG1HFxOslE

— Pierre Gramegna (@pierregramegna) 25 באפריל 2016

The license will come into effect on July 1st, when Bitstamp's new headquarters in Luxembourg will be fully operational. The license is passportable into all the 28 EU member states, providing the exchange with an authorization to offer its services to a very large market from the tiny country.

Dan Morehead, CEO of Pantera Capital and chairman and investor of Bitstamp, commented: “Luxembourg recognizes the economic potential of bitcoin and Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Read this Term technology. It has set an example for other nations to embrace the industry after having conducted heavy due diligence of the technology and of Bitstamp as a company. Bitstamp becoming the first nationally regulated bitcoin exchange is a historic achievement for digital currency.”

The firm explains that it took a rigorous application process with the Luxembourg financial regulator (Financial Industry Supervisory Commission) spanning nearly two years, which included security reviews in addition to an audit by Ernst & Young.

“We have put a lot of time and resources into the regulatory process with the goal of ensuring customers feel more confident in using Bitstamp’s exchange and products across the European Union,” said Nejc Kodric, co-founder and CEO of Bitstamp. “We are proud to have taken this important step for our customers and the digital currency/blockchain industry globally.”