MoonPay Forges Gold Standard in Crypto-Traditional Finance with NYDFS Charter

MoonPay, a leading crypto payments platform, has secured a New York Limited Purpose Trust Charter, authorizing it to offer digital asset custody and over-the-counter trading services under the stringent regulatory oversight of the New York State Department of Financial Services (NYDFS). This milestone positions MoonPay as one of a small group of firms-joining Coinbase, PayPal, Ripple, and NYDIG-that hold both a BitLicense and a New York Trust Charter according to the report. The dual licensing underscores MoonPay's commitment to operating within a robust compliance framework, enabling it to act as a fiduciary for institutional clients and deepen partnerships with traditional financial institutions as research shows.

The charter, granted to MoonPay Trust Company, LLC, allows the firm to provide custody and OTC trading services while aligning with the NYDFS's reputation as one of the most rigorous regulators in the U.S. based on data. Ivan Soto-Wright, MoonPay's co-founder and CEO, emphasized that the approval reflects the company's adherence to "the highest standards of compliance, security, and governance," and will facilitate expansion into regulated institutional services according to the report. The move also opens a potential pathway for compliant stablecoin issuance under federal standards, though such initiatives would require explicit NYDFS approval as research shows.

MoonPay's regulatory achievements are part of a broader strategy to bridge traditional and digital finance. The company has been expanding its global footprint, securing licenses in the U.K., EU, Canada, and Australia while also acquiring firms like Helio, Iron, and Decent.xyz to enhance its product suite. Its New York Trust Charter complements its existing BitLicense, which it obtained earlier this year, and aligns with its efforts to establish a unified regulatory framework across key jurisdictions as research shows. This includes compliance with the EU's Markets-in-Crypto-Assets (MiCA) regulation, as evidenced by its recent operational license in the Netherlands according to data.

Industry observers have highlighted the significance of MoonPay's dual licensing, noting that the NYDFS is selective in granting trust charters. According to a crypto analyst, "NYDFS doesn't hand out trust charters unless your compliance is bulletproof," underscoring the regulatory rigor required. The approval is expected to make MoonPay a more attractive partner for banks and fintechs seeking to navigate the crypto space without regulatory risk as reports indicate. With 30 million customers and infrastructure for nearly 500 companies, MoonPay's expansion into custody and OTC services could further accelerate mainstream adoption of digital assets according to the report.