Google Play sets new licensing rules on crypto wallet developers

Update (Aug. 13, 9:33 p.m. UTC): This nonfiction has been updated to clarify that Google's upcoming requirements volition not use to non-custodial wallets.

Google Play volition require crypto wallet providers successful implicit 15 jurisdictions, including the United States and the European Union, to get licenses and comply with “industry standards” nether an updated policy. The revision does not impact non-custodial wallets.

According to Google Play’s argumentation notice, the changes instrumentality effect Oct. 29. Developers successful the US volition request to registry with section regulators arsenic either a wealth services concern oregon wealth transmitter, portion those successful the EU indispensable registry arsenic a crypto-asset work supplier (CASP).

In the US, companies registered with the Financial Crimes Enforcement Network (FinCEN) arsenic wealth services businesses indispensable conscionable circumstantial requirements, including implementing a written Anti-Money Laundering program. This could pb to broader adoption of Know Your Customer checks and different measures.

Google addressed concerns implicit the argumentation interaction connected X pursuing backlash from the crypto community, stating: “Non-custodial wallets are not successful scope of Google Play’s Cryptocurrency Exchanges and Software Wallets Policy. We are updating the Help Center to marque this clear.”

Google Play volition necessitate crypto wallet app developers successful 15 regions to get licenses. Source: Google

Simon Dixon was among the radical voicing absorption to the change. Dixon, who claims helium spoke astatine the archetypal Bitcoin (BTC) conference, wrote, “Google bans unlicensed Bitcoin and crypto wallets successful the US & Europe. They truly privation Blackrock to ain it for you. Fight backmost with Bitcoin successful self-custody.”

Google Play Store has tenous past with crypto apps

The Google Play Store has had a long, tenuous past with the crypto industry. In 2018, it banned crypto mining apps and removed the Bitcoin Blast video crippled for deceptive practices successful 2020. It took down crypto quality apps successful the aforesaid year, including Cointelegraph’s and Coindesk’s, without explanation.

In 2021, it banned 8 “deceptive” crypto apps. These apps allegedly tricked users into paying for an illegitimate unreality service.

In 2023, Google announced it would licence non-fungible token games, requiring developers to disclose the diagnostic and prohibition gambling elements. It besides barred “loot boxes,” which connection players random, enigma items.

According to the Google Play Store blockchain contented page, 4 types of apps presently warrant peculiar attention: cryptocurrency exchanges and bundle wallets, crypto wallets, apps that administer tokenized integer assets, and NFT gamification.

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