Bitcoin regulations on the way in New York

New York’s top financial regulator is promising strict rules for virtual currencies like bitcoin, despite fresh calls from the Winklevoss twins and other investors for a light touch, Bloomberg reports.

Benjamin Lawsky, New York’s superintendent of financial services pledged that the state would be the first to impose rules governing digital currency, according to the media outlet.

On the first of two days of hearings, Lawsky said the state’s priority is to ensure virtual currencies aren’t used to skirt the law.

“If the choice for regulators is to permit money laundering on the one hand, or to permit innovation on the other, we are always going to choose squelching the money laundering first,” Lawsky said at the hearing.

The push for strong regulations drew pushback from bitcoin backers Cameron and Tyler Winklevoss, best known for their connection to Facebook, who warned that overzealous regulators could stifle the technology,” Bloombergs Carter Dougherty writes.

Check out the full Bloomberg story here.