New York Enforces Stricter Customer Service Rules for Crypto Companies

The New York State Department of Financial Services (DFS) has introduced new guidelines requiring regulated cryptocurrency entities to implement comprehensive customer service policies and procedures. These entities must collect data to ensure timely and fair resolution of customer issues, maintain records for regulatory review, and provide quarterly analyses.

The DFS announced that Superintendent Adrienne A. Harris has issued guidance regarding customer service requests and complaints. This guidance mandates that DFS-regulated virtual currency entities (VCEs) maintain and implement effective policies and procedures to promptly address customer service requests and complaints. It requires VCEs to collect relevant data to allow the Department to assess whether they are resolving these issues in a timely and fair manner.

The guidance outlines DFS's expectations for VCEs concerning customer service policies and procedures. These include mechanisms for submitting requests and complaints, monitoring response and resolution times, and reporting. Licensees must maintain records of their policies and procedures for departmental review and conduct quarterly analyses of the requests and complaints they receive. The DFS will evaluate the application and effectiveness of these policies through examinations and supervisory monitoring.

Key policies and procedures highlighted in the announcement include offering phone and electronic text options for submitting requests and complaints, providing regular updates and estimated resolution timelines, publishing accessible FAQs, tracking requests and complaints with customer satisfaction feedback, and reporting quarterly on the number and nature of requests and complaints along with resolution times. Additionally, entities must provide a copy of their customer service policies, ensure alignment with the described standards, and designate individuals responsible for overseeing these policies.