A significant breakthrough has been achieved by MoonPay, a prominent player in crypto payments, as it secured a trust charter from the New York Department of Financial Services (NYDFS). This regulatory approval allows MoonPay to offer digital asset custody and over-the-counter (OTC) trading services throughout New York, a region known for its stringent regulatory environment for cryptocurrencies. This marks a considerable expansion of MoonPay’s operational capabilities, particularly following its acquisition of a BitLicense just months prior in June.
The new trust charter positions MoonPay among a select group of crypto firms, including well-known names like Coinbase, Ripple Labs, and NYDIG, that have obtained both the trust charter and BitLicense. This combination is crucial, as it grants MoonPay the authority to custody digital assets and act as a fiduciary, similarities that link it more closely with traditional financial institutions.
According to co-founder and CEO Ivan Soto-Wright, this regulatory approval will allow the company to foster stronger relationships with global financial institutions and diversify its range of regulated services. The charter is a pivotal step towards MoonPay’s ultimate goal of creating a unified payments network. This network aims to link various financial systems, such as banks, card processors, stablecoins, and blockchains, adhering to regulatory standards in both the United States and Europe.
The timing of this approval is particularly noteworthy as the U.S. approaches the implementation of the GENIUS Act, a framework for payment stablecoins that was signed into law earlier this year. Although the rules have yet to take effect, they have already prompted several crypto and fintech firms to eye stablecoin issuance. MoonPay had previously announced plans to enable issuers to design and distribute their own stablecoins using its infrastructure, now enhanced by the trust charter to offer custody and settlement services compliant with NYDFS standards.
The regulations under the GENIUS Act seem to be motivating traditional financial institutions to innovate. Companies like Visa are expanding their stablecoin capabilities, and Bank of America’s CEO has hinted at exploring a stablecoin in collaboration with other entities. With its trust charter, MoonPay is equipped to undertake key functions:
– Custody of digital assets for institutions and clients in New York.
– OTC trading services within one of the U.S.’s most regulated frameworks.
– Acting as a fiduciary, which is a critical requirement for banks and regulated financial platforms.
– Supporting future stablecoin issuance in alignment with NYDFS requirements.
Given these advancements, MoonPay is emerging as a formidable player in the burgeoning stablecoin-driven financial ecosystem.
The company, which has amassed a global user base exceeding 30 million while partnering with nearly 500 businesses, has transformed from a retail-focused on-ramp during the pandemic to a more comprehensive infrastructure supplier with institutional goals. Major collaborations with platforms such as OpenSea and endorsements from celebrities like Paris Hilton have bolstered its visibility in the crypto space.
Valued at $3.4 billion in a significant funding round in 2021, MoonPay has recently grown through strategic acquisitions. These include Helio, a payments platform focused on Solana, Iron, a company specializing in stablecoin infrastructure, and Decent.xyz, which offers on-chain payment solutions. This expansion enhances MoonPay’s capability to facilitate merchant payments, cross-border transactions, and developer-integrated payment systems related to stablecoins.
Additionally, the firm is striving to ensure compliance across jurisdictions. In Europe, it is aligning its operations with the Markets in Crypto-Assets (MiCA) regulatory framework, which standardizes rules for custody, stablecoin issuance, and digital asset services across that region. The convergence of U.S. and EU compliance strategies positions MoonPay as a likely settlement provider for global finance platforms looking to bridge fiat funding and tokenized money.
With the new charter, MoonPay can operate in New York not just as a crypto entity, but in a manner typically associated with trust companies and banks. This positions the firm as an attractive partner for institutions exploring opportunities in crypto custody or stablecoin settlement. The expansion also sets the stage for MoonPay to assume a pivotal role in regulated stablecoin issuance under the forthcoming GENIUS Act framework.
As financial institutions evaluate their own stablecoin strategies, MoonPay is carving out its role as a compliance-driven infrastructure provider that can interconnect traditional financial systems with blockchain-based networks. This evolution from a consumer-oriented service to a regulated institutional partner marks one of the most significant developments in the crypto payments landscape as it looks toward 2026.
