World News
February 9, 2023

New York State Takes a Step Toward Crypto Adoption Despite Negative Sentiment

New York State Takes a Step Toward Crypto Adoption Despite Negative Sentiment

Darkweb v2.0 public release is here

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What has changed in our latest release?

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All new features available for all public channel users

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Coding collaboration with over 200 users at once

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The cryptocurrency industry has faced criticism in recent years due to the prevalence of scams and fraudulent activities. However, new developments such as the recent bill introduced to the New York State Assembly could change this negative sentiment and further boost cryptocurrency adoption.

Assembly Bill A523, introduced by Democratic Assembly Member Clyde Vanel, would allow state agencies to accept cryptocurrency as a form of payment for fines, civil penalties, taxes, fees and other payments charged by the state. The bill clarifies that state agencies can legally enter into agreements to accept cryptocurrency payments, and that these agreements should be enforceable in court.

The bill defines cryptocurrencies as "any form of digital currency in which encryption techniques are used to regulate the generation of units of currency... including but not limited to, bitcoin, ethereum, litecoin, and bitcoin cash." This definition may or may not include stablecoins, as the supply of these is usually regulated by the issuer instead of cryptography.

Although the bill does not obligate state agencies to accept cryptocurrency as payment, its mere existence sends a positive signal to the market. By allowing state agencies to legally accept cryptocurrency payments, the bill could help increase its legitimacy and dispel the negative perception of cryptocurrencies as speculative and unreliable assets.

The New York state government has been known to be hostile to cryptocurrency, with the state passing a bill in November 2022 that banned nearly all cryptocurrency mining. It also received criticism for the restrictive "BitLicense" it requires all crypto exchanges to acquire. However, the introduction of Assembly Bill A523 suggests a shift in the state's stance towards a more positive view of cryptocurrencies.

In conclusion, Assembly Bill A523 could be a significant step towards increased cryptocurrency adoption, especially in a state like New York. Its passage would demonstrate a growing acceptance of cryptocurrencies as a legitimate form of payment, and help dispel the negative perception of cryptocurrencies as speculative and unreliable assets.


- Himanshu Saxena