Coinbase, the US cryptoexchange giant, has resumed its business operations in Wyoming, which has become possible subsequent to the states passing of an array of laws created to establish friendly environment for the industry of blockchain technologies. It took the San-Francisco exchange three years to return to the state.
The exchange firm was forced to rapidly suspend all operations in Wyoming back in 2015, since the policymakers notified Coinbase that its laws for money transmitters force them to “double reserve” the digital assets of the exchange users via holding reserves in fiat currencies in the equal amounts to the digital currencies. At the time, the company had no other choice than to shut down its operations in the state, despite being able to securely handle 100 percent of all the clients’ assets, because it was merely impractical, too expensive and lacked efficiency In terms of the necessity to establish a double reserve.
The shutdown was carried out so fast that financiers were unable to withdraw their funds from the cryptoexchange in any form, rendering those funds frozen even after the state has simplified its regulations and adjusted them to the emerging industries of digital currencies and blockchain projects.
The “double reserve” requirement is no more for the cryptoindustry, and the financiers of the Cowboy State are welcome to resume their business at the cryptoexchange once more.