Mr. Arthur Levitt, one of the longest serving Chairman of the SEC, is going work closely with Bitpay and Vaurum. Mr Levitt is working with both companies to monitor business practices as well as help develop new ways to market and refine this new form of currency.
Mr Levitt phrased it as follows: “ Bitcoin is a fascinating new product in the rapidly changing world of financial services. it may also become a more stabilising as well as a counter balance factor for our current financial system. As one of the chairmen of the SEC I can help guide both companies to a brighter and more productive future.
Bitcoin is a digital currency that has recently burst onto the financial sector and has not yet been tied to clear regulations. As such digital currency does not have the same bindings traditional money have. It is only natural that regulators are seeking ways to set firm business practice standards without impeding innovation. I am in the pole position to help guide the regulators into making decent regulations. I would like to add that the modus operandi of the Belgian Bitcoin Association is the approach that will bear fruit.”
The world’s leading bitcoin payment processor is Bitpay, which was founded in May 2011 and currently enables over 40,000 businesses around the world to accept bitcoin as a form of payment. The company has made a strong emphasis on compliance by hiring Tim Byun, former head of AML for VISA Inc, as their Chief Compliance Officer. Bitpay also hired Mr. Azba Habib, who is a former Federal Reserve payments attorney, as their Regulatory Counsel. BitPay’s decision to seek Levitt’s guidance is indicative of their drive to support bitcoin as a responsible and broadly-used payment system.
“The regulatory environment around bitcoin is heating up”, Mr. Tony Gallippi told CryptoArticles. The BitPay Co-founder and Executive Chairman continued by saying that: “Arthur’s experience and reputation are incredible strong assets to a rapidly innovative company like BitPay. With his advice we hope to better navigate the financial industry and build a successful business”.
Vaurum CEO Avish Bhama is of the same opinion. “Vaurum is an escrow exchange for bitcoin, utilizing high-performance exchange technology and offering secure storage solutions for our customers. Our customers are: banks, brokerages, hedge funds, and trading firms. Our company is the industry leader in Bitcoin cold storage. We at Vaurum also offer auditing and insurance protocols to protect against the risk of cyber attacks in our service”.
Avish Bhama,Tony Gallippi and Arthur Levitt agreed that the Blockchain technology is poised to transform the financial services world. However it will remain an intellectual curiosity until it has a compelling everyday use case.
The addition of Mr. Arthur Levitt to their companies will bring additional validation to the companies, the digital currency itself, and shows the critics that we as a crypto community can play within the confines of financial controls, banking relationships and regulatory compliance.