great news.
I have already asked it in another thread, but is there some sort of insurance on bitstamp funds and/or customer funds?
Right but their license as payment institution (PI) is only available in...Luxembourg. This licensed cannot be passported to other EU countries.
The Electronic Money Institution (EMI) can be passported BUT not the PI license.
So, Bitstamp is lying like a shit or they are too stupid to know what they "bought" .
In short, the Bistamp license is good but only within Luxembourg and indeed they will cut the fake transactions with a half. They will have to appoint an external auditor, they will have to comply with strict rules and it will be harder to make the shits they did till now(with the Willy bot).
Also, the funds are not insured BUT it's much better than nothing. A PI company is regulated and they cannot disappear overnight.It's out of the shadow.