Opening Exchange Accounts for Your LLC in New York #
New York makes everything harder with crypto. The state requires exchanges to get a BitLicense before they can operate there, and most exchanges have decided New York isn’t worth the regulatory headache. That leaves you with limited options if your LLC operates in New York or if you’re a New York resident managing it.
Coinbase works for LLC accounts in New York. They’re one of the few major exchanges that went through the BitLicense process and can legally serve New York customers. Business account onboarding is more involved than personal accounts. Expect to submit your Articles of Organization, Operating Agreement with Schedule 1, EIN letter, government ID for all managers, and detailed information about your business activities.
Gemini also operates in New York with proper licensing. They support business accounts and have similar documentation requirements to Coinbase. Both exchanges take New York compliance seriously because they have to. Any mistakes and the state regulators come down hard.
The onboarding process in New York takes longer than other states. Compliance teams review everything more carefully. They ask more questions. They verify information against state records. What might take three days in Wyoming can take three weeks in New York.
Setup fees and account minimums change regularly, so quoting specific numbers here would be outdated by the time you read this. Check the exchange’s business account page for current fee structures. What matters more than the specific fees is understanding you’ll face higher compliance costs operating in New York compared to anywhere else.
Some people try to structure around New York’s restrictions by using a Wyoming LLC and claiming they operate the business from outside New York. This doesn’t work if you actually live in New York. Exchanges verify where you physically operate from. Your principal operating address goes on the KYC forms. If that’s a New York address, you’re subject to New York regulations regardless of where your LLC is registered.
The same issue hits you with banking. Mercury and Relay both operate nationwide but they’ll ask where you’re based. If you’re in New York, expect additional verification steps. Axos has similar requirements. Banks don’t want to run afoul of New York financial regulations any more than exchanges do.
Get your structure clean before you start the onboarding process. Articles of Organization filed properly. Operating Agreement with clear ownership structure in Schedule 1. EIN obtained from the IRS. Everything aligned and consistent. New York compliance teams will find any discrepancies and use them as a reason to delay or deny your application.
Schedule 3 with your capital contributions and asset details should stay out of your application package. Exchanges don’t need to know your wallet addresses or how much crypto you started with. They need to verify ownership and control. That’s Schedule 1 territory, not Schedule 3.
Your actual custody should be completely separate from the exchanges anyway. Hardware wallets like D’Cent keep your assets under your control with proper security. Exchanges are just the on-ramp and off-ramp for converting between crypto and fiat. Your long-term holdings shouldn’t sit there.
New York’s regulatory environment is frustrating but working within it is better than trying to work around it. Exchanges and banks can verify where you operate. Lying about your location gets you debanked when they find out. Just accept the extra paperwork and build relationships with the few institutions that actually serve New York crypto businesses properly.
When your crypto wealth reaches levels where you’re thinking about professional management, registered investment advisors become relevant. Digital Wealth Partners provides fiduciary-level wealth management and investment advisory that understands how digital assets fit into diversified portfolios. They work with clients in New York and understand the state’s regulatory requirements.
At higher wealth levels, you’re coordinating more than just investments. Estate planning, tax strategy, multi-generational wealth transfer, philanthropic structures. That’s family office work. Digital Ascension Group handles estate and succession coordination, tax strategy oversight, and comprehensive financial coordination for high-net-worth individuals managing complex wealth situations.
Contact Digital Ascension Group to learn how our family office services can coordinate your complete financial picture.
