New York State Senator James Sanders Jr. has introduced legislation aimed at establishing a task force to examine the current state of cryptocurrencies and digital currencies in the city. The New York State Cryptocurrency and Blockchain Study Act, proposed on February 12, seeks to create a 17-member task force to analyze the effects of widespread crypto adoption and its broader implications.
If approved, the task force will assess the number of cryptocurrencies being traded, evaluate the presence of exchanges in New York, and determine how digital assets impact state and local tax revenues. Additionally, it will explore the environmental effects of crypto mining and energy consumption, as well as compare New York’s regulatory landscape with that of other jurisdictions.
The bill mandates that once enacted, task force members must be appointed within 90 days and are required to submit a comprehensive report by December 15, 2027. This report would include recommendations for legislative and regulatory measures aimed at improving transparency, security, and consumer protection, while also addressing long-term economic and financial risks associated with cryptocurrency use.
Currently, the bill remains under committee review and must pass floor debates and votes in both the state assembly and senate before reaching the governor’s desk for approval.
New York has long been a key player in the cryptocurrency industry, but its BitLicense program, launched in 2015, has drawn criticism from industry leaders and even pro-crypto New York City Mayor Eric Adams, who argues that the licensing requirements are too restrictive. To operate in the state, crypto firms must obtain a BitLicense from the New York Department of Financial Services, a process that includes high fees and strict compliance with anti-money laundering (AML) and Know Your Customer (KYC) regulations.
The move comes amid a growing nationwide interest in cryptocurrency legislation. More than 20 U.S. states are exploring crypto-related policies, with Arizona and Utah advancing legislation past the House committee stage. Additionally, over 100 public entities—including government institutions and private corporations—have begun accumulating Bitcoin, viewing it as a hedge against inflation. Experts suggest that if all pending bills pass, crypto investment demand could surge by $23 billion.
