Read the Forbes article. The BitLicense requires Bitcoin banks to have 100% reserves ... just like Murray Rothbard and Hans Hoppe have called for.
It's a gol' darn anarcho-libertarian godsend!!!
I don't think that's the part people are annoyed about. I think it's about:
1)Identifying customers to prevent the bullshit crime of money laundering.
2)Demanding that businesses outside of NY prevent NY customers from accessing or using their services like it's their fucking job to perform free police work for NY.
3)Pay a bunch of money to get a bitlicense
4)Stifle things which clearly aren't (fiat <-> BTC) exchanges: hot wallets, mining pools. BTC->BTC doesn't need reserve proofs because the blockchain is the proof.