Regulators Requires New York Crypto Firms To Outline COVID-19 Preparedness Plans

News / 14.03.2020

In a bid to help stop the spread of the  COVID-19 disease, The New York State Department Of Financial Services (NYDFS) has issued a directive requiring crypto firms to submit their COVID- 19 preparedness plans. In a letter written to the firms on Thursday this week, the regulator noted that the disease has adversely affected the economy. As such, firms needed to develop plans to mitigate risks emanating from the pandemic.

The Bare Minimum 

The letter cataloged the minimum that every institution’s plan is to include. Among other measures, NYDFS asked them to indicate their preventive programs, strategies to protect employees, and a detailed plan on a phased tackling of the pandemic.

Furthermore, they are to include their assessments of the potential rise in cyber-attacks and fraud resulting from the COVID-19 pandemic.

All the institutions under The NYDFS ambit have one month to submit their plans. The agency, however, urges earlier submission.

COVID-19 Mitigation Plans

Last month, Coinbase, one of the NYDFS regulated firms, revealed its COVID-19 preparedness plans. The firm disclosed a 4 tier approach. The lowest tiers range from 0 to 3. Level 3 interventions will require the employees to work from home.

The COVID- 19 pandemic continues to wreak havoc globally. Apart from the many who succumb to its infections, it has continued to ravage the world economy. To curb the disease’s further spread, national institutions and organizations have introduced their mitigation plans. Though highly decentralized, the crypto industry is not immune to the scourge’s effects.

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Born in Bucharest, Marius is the founder of Crypto Adventure. Since his first contact with Bitcoin and cryptocurrencies, he never stopped believing that they are one of the most important innovations of our time, which will forever change the way business is done.