Kraken and Bitfinex cut services in NYC

[clementinal]

So will there be a significant drop in volume since Kraken and Bitfinex as of 8th of august cut their services in New York?

[1715366991]

1715366991

[1715366991]

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[pedrog]

Probably not, I believe there are still options available for NY residents.

One of the reasons why they ditched NY is it isn't cost effective, so those exchanges didn't have many users there.

[randy8777]

Probably not, I believe there are still options available for NY residents.

One of the reasons why they ditched NY is it isn't cost effective, so those exchanges didn't have many users there.

the amount of ny users were too low to take the effort required to stay operative there. so indeed it won't do much harm for their volume.

[Amph]

it's the contrary they have cut new york because otherwise they would lose money if they were to accept it, this is the primarely reason the other is not having many customers dealing with their crappy license

[AtheistAKASaneBrain]

What will happen to the BitLicense if every business residing in New York City leaves the place? I wonder if it will remain operative? But whats the point of having a license if no one pays for it because they all leave? lol.

[Mickeyb]

What will happen to the BitLicense if every business residing in New York City leaves the place? I wonder if it will remain operative? But whats the point of having a license if no one pays for it because they all leave? lol.

Well I kind of wish at the end that this happens even though at the same time I regret that the state of NY has taken such a rigid stance toward the Bitcoin. If everybody would leave, that would teach them the lesson. Only problem is that I see this situation bad for Bitcoin as well, state of NY and NYC are huge markets in any business.

[Quickseller]

So will there be a significant drop in volume since Kraken and Bitfinex as of 8th of august cut their services in New York?

It really isn't difficult to get around a "location ban" especially considering that bitfinex (and maybe kraken) allows you to trade without verifying your identity. All you would need to do is create a new account while using a VPN gateway outside of New York and you will be able to use bitfinex worry free.

To answer your question, I would doubt that either exchange would see any kind of significant drop in trading volume. In addition to the fact that people can get around a "location ban" (see above), even though New York City is a financial center for the US (and the world), many people who work in NYC actually live across the river in New Jersey, and would not be subject to such restrictions. I also would not think that the trading volume from NY residents is all that significant in the first place.