On January 26th, New York lawmakers introduced a new bill in the New York City Senate that would allow state agencies to accept cryptocurrencies as legal tender.
If the bill in question—’New York Assembly Bill 2532’ – is accepted, then under certain circumstances it allows the acceptance of cryptocurrencies as a means of payment.
However, the bill does not appear to allow the commercial introduction of cryptocurrencies. Instead, it would amend existing laws to allow government agencies to accept cryptocurrencies. Through agreements with individuals and groups, these government agencies could accept cryptocurrency for payments related to taxes, rents, fines, penalties, and interest.
The text of the bill also suggests that some crypto payments may be conditional until the final payment is received in full. The proposal would also allow the state to charge a fee if it would otherwise be forced to pay the costs of the transaction.
The draft law also refers to “issuers”, but it seems that the concept is not precisely defined. From the context, it appears that the term covers services that manage cryptocurrency, not just those that create it.
The bill specifically names Bitcoin, Ethereum, Litecoin and Bitcoin Cash as acceptable currencies. However, it also states that other cryptocurrencies are acceptable.
The bill was introduced by Assemblyman Clyde Vanel, who has previously introduced bills related to crypto counterfeiting and the creation of crypto task forces.
Do you have questions about the adoption of the bill?
However, the bill has not yet entered into force. It must be passed by both the New York Assembly and Senate and signed by Gov. Kathy Hochul before it takes effect. Previously, the current bill has been submitted in different wording several times since 2017, which indicates that its approval is not guaranteed. New York is known for its strict policy towards other areas of the crypto sector. Only 32 companies can operate under the BitLicense or its limited purpose trust charter. At the end of last year, the state also introduced strict regulations on cryptomining.