A former chair of the Securities and Exchange Commission (SEC) has been appointed to the advisory board of the two major Bitcoin companies.
Arthur Levitt, who served as chair of the SEC between 1993 and 2001, will advise Bitpay and Vaurum on how to handle future regulatory challenges.
Levitt was optimistic about the future of the world's favourite digital currency, citing the "innovative energy" of the sector's advocates.
He added there was still a long way to go to reassuring the public about the safety of Bitcoin. The appointment lends some establishment heft to the still young and evolving cryptocurrency companies. Levitt was appointed to the SEC by Bill Clinton and quickly made a name for himself as a champion of investors.
Speaking to digital currency news site Coindesk, Vaurum CEO Avish Bharma commented:
Arthur Levitt brings additional validation to the space, and we’re pleased to work with him on our financial controls, banking relationships and regulatory compliance.
Levitt's move into the world of digital currencies comes just a week after the comment period for New York State's controversial BitLicense proposal closed. Bitpay has pointed out several problems with the BitLicense, saying it could hamper innovation and growth in the sector.
Bitpay wants the provision for the collection of ID data for every transaction to be scrapped. Digital rights group Electronic Frontier Foundation launched an email campaign to oppose the regulations.