FCA Deems NYDIG’s Bitcoin Payments App Bottlepay a Cryptoasset Firm

Bitcoin firm NYDIG’s subsidiary Bottlepay, a bitcoin payments app, has been registered by the U.K. Financial Conduct Authority (FCA) as a cryptoasset business, the first company on the Lightning Network to earn the designation, and one of just a few companies to ever receive it.

“Our registration with the FCA is an achievement not just for Bottlepay, but for the Lightning Network,” Bottlepay founder Pete Cheyne said in a press release on Tuesday (Jan. 11). “This registration goes to show that we can build the financial infrastructure of the future while upholding the regulatory and compliance standards of today.”

Headquartered in New York and founded in 2017, NYDIG acquired British payments startup Bottlepay in November for about $300 million in shares, according to reports. NYDIG invested in the startup’s seed round and backed the firm in a February funding round that valued the company at 51 million pounds ($69 million).

See also: NYDIG Acquires Bitcoin Payments App Bottlepay

To obtain FCA registration, businesses must show that they are in compliance with anti-money laundering (AML) laws and counter-terrorist financing regulations in the U.K. Firms that deal with cryptoassets have to register with the FCA to do business in the U.K.

“Securing FCA registration is a breakthrough event and is a testament to NYDIG’s and Bottlepay’s commitment to compliance. Together with Bottlepay, we will continue to work hard to make the Bitcoin network accessible to all,” said Yan Zhao, president of NYDIG.

Bottlepay is developing an international open instant payment network using the Lightning Network. Using the Bottlepay app, individuals can instantly send payments in bitcoin, pounds or euros without incurring any fees. The app also integrates with Twitter and Discord. Businesses will soon be able to use Bottlepay’s infrastructure and APIs to ease the integration of bitcoin payments.

Read more: SEC Delays Ruling on NYDIG’s Spot Bitcoin ETF Proposal

NYDIG is in the business of providing bitcoin technology and financial services solutions to banks, insurers, corporations and institutions. The company has subsidiaries that hold a BitLicense and a Limited Purpose Trust Charter from the New York State Department of Financial Services.

Available in the U.K. and across Europe, Bottlepay develops payment products on top of the bitcoin and Lightning networks.