Bullish Crypto Exchange Wins NY Approval, Shares Jump

The New York State Department of Financial Services has granted Bullish both a BitLicense and a Money Transmission License, authorizing the exchange to operate as a digital asset trading and custody business within the United States. This approval is particularly significant given New York’s reputation for imposing some of the most stringent regulatory requirements on cryptocurrency businesses. Bullish CEO Tom Farley emphasized the importance of this milestone, stating that ‘New York is widely recognized as being at the forefront of virtual currency regulation’ and that the licenses demonstrate the company’s ‘commitment to regulatory compliance.’

The regulatory green light comes after Bullish made its debut on the New York Stock Exchange in August, though the exchange’s services—which allow institutions to buy, sell, and speculate on cryptocurrency prices—had remained unavailable to American investors until now. This limitation had been identified by analysts at investment bank Compass Point as a significant hindrance to the company’s performance potential in previous assessments.

Investors responded positively to the regulatory news, with Bullish shares (BLSH) jumping 5% following the announcement. The stock was trading at $53.83 on Wednesday, according to Yahoo Finance data, though this remains well below its peak of $118 during its NYSE debut in August, when it was offered at $37 in its initial public offering. The price movement reflects market optimism about Bullish’s expanded operational reach and its newfound ability to compete for U.S. institutional trading volume.

Analysts at Compass Point had previously noted that securing a U.S. license would transform Bullish into a ‘formidable competitor to Coinbase,’ which currently dominates institutional crypto trading in the United States. The analysts highlighted Bullish’s low fees as a key competitive advantage that could help it capture market share from the established leader. Coinbase (COIN), America’s largest crypto exchange, went public in 2021 and has maintained a strong position in the market despite regulatory challenges and market volatility.

Bullish’s path to becoming a publicly-traded company has been marked by both ambition and adversity. The firm initially planned to go public in 2021 through a merger with special purpose acquisition company Far Peak in a deal that valued the company at approximately $9 billion. However, those plans collapsed a year later due to ‘time constraints and market conditions’ during a brutal crypto bear market that saw the failure of several major industry players.

The successful NYSE debut in August and subsequent regulatory approval represent a significant recovery for the Peter Thiel-backed exchange. With its new licenses, Bullish can now leverage its institutional-grade digital asset infrastructure to compete in the crucial U.S. market, fulfilling CEO Tom Farley’s vision of building ‘trusted’ services in key global markets. The company’s ability to navigate New York’s rigorous regulatory environment suggests a maturation both for Bullish specifically and for the cryptocurrency industry’s relationship with traditional financial regulation.