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The New York State Department of Financial Services (DFS) and the Wyoming Division of Banking have signed a memorandum of understanding (MOU) to strengthen coordination in the supervision of virtual currency and digital asset activities across both jurisdictions.
The agreement, announced by DFS Acting Superintendent Kaitlin Asrow and Wyoming Banking Commissioner Jeremiah Bishop, establishes a framework for the two regulators to exchange supervisory expertise and information while coordinating oversight of digital asset firms operating or seeking approval in New York and Wyoming.
Regulators deepen digital asset supervision
The MOU brings together two state regulators with established experience overseeing virtual currency businesses and formalises cooperation on licensing, supervision and regulatory enforcement.
Under the agreement, both regulators will be able to draw on each other’s supervisory insights and technical expertise, strengthening their ability to monitor developments in the rapidly evolving digital asset sector.
“Interstate collaboration is essential for the virtual currency space,” said Acting Superintendent Kaitlin Asrow.
She said the agreement would expand the resources and information available to both regulators, supporting responsible innovation while strengthening consumer protection across their respective jurisdictions.
Wyoming Banking Commissioner Jeremiah Bishop said the agreement demonstrates the strength of the state regulatory system, with two regulators working together to improve the effectiveness of digital asset supervision.
MOU targets licensing and chartering
The agreement provides for greater coordination around entities that are already licensed or chartered in either New York or Wyoming, as well as businesses seeking regulatory approval in both jurisdictions simultaneously.
As part of the arrangement, the regulators will share regulatory analysis, subject-matter reviews and historical examination data. The information-sharing framework is intended to reduce duplication and streamline aspects of the application process for digital asset firms operating across both states.
The coordinated approach could also provide regulators with a broader view of the activities and risk profiles of firms that maintain operations in multiple jurisdictions.
Joint examinations and enforcement coordination
Beyond licensing, the MOU establishes mechanisms for closer supervisory cooperation.
The DFS and Wyoming Division of Banking will coordinate examination schedules and work towards conducting joint examinations of entities operating in both states. The regulators will also establish protocols for exchanging supervisory reports, market trend information and notifications relating to potential enforcement actions.
The framework is designed to strengthen regulatory visibility while allowing both agencies to respond more effectively to emerging risks within the virtual currency market.
New York’s BitLicense framework
New York has been a major US jurisdiction in the development of digital asset regulation. DFS established the BitLicense framework in 2015, creating one of the country’s earliest comprehensive regulatory regimes for virtual currency businesses.
Entities regulated by DFS are subject to supervisory requirements covering areas including consumer protection, financial safeguards and the safety and soundness of regulated institutions.
The new partnership with Wyoming adds an interstate dimension to that oversight, reflecting the need for regulators to coordinate as digital asset businesses increasingly operate across multiple markets.
By establishing formal channels for information sharing, coordinated examinations and licensing cooperation, the MOU provides both regulators with additional tools to supervise virtual currency activities while maintaining regulatory oversight across state lines.
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