Since the launch of the Bitcoin blockchain in 2009, cryptocurrency regulation has changed dramatically.
The cryptocurrency trading ecosystem is tightly regulated by the KYC and AML requirements of most major exchanges, from the less regulated “Wild West” where anyone can trade cryptocurrencies without sharing identity information. Has evolved into a financial market.
Increased surveillance has enabled crypto exchanges to provide a higher level of security and reliability, but strict regulatory requirements have fragmented exchange availability fragmented by geographic location and jurisdiction. A trading ecosystem has been created.
Currently, there are hundreds of cryptocurrency exchanges online-choosing the right one is a careful consideration of various factors such as reliability, security, history, pricing, and supported cryptocurrencies. Means.
Why are some crypto exchanges not available in the United States?
The United States puts significant regulatory pressure on crypto exchange, which can make it difficult for US-based crypto traders to identify the right trading platform for their needs. Cryptocurrency exchanges operating in the United States are regulated by the Commodity Futures Trading Commission (CFTC). This committee enforces various anti-money laundering programs and requirements, FinCEN regulations, and other rules and regulations from various government agencies.
For example, a cryptocurrency exchange operating in New York is considered a money transfer service. This requires exchanges operating in the region to obtain certain licenses. Many crypto exchanges that allow users to trade crypto assets are defined as securities under US Federal Securities Law, and you also need to make sure that they meet various SEC requirements.