First U.S. cryptocurrency task force formed in New York
Cryptocurrency has been a hot-button issue in New York in recent weeks, as the state launched the first U.S. cryptocurrency task force to tackle questions of regulation, definition, and usage of cryptocurrencies. Additionally, governor Andrew Cuomo signed “The Digital Currency Study Bill,” which will create a “regulatory sandbox program” to monitor the cryptocurrency industry. The task force members, including tech professionals, investors and consumers, will release their initial findings by the end of 2020.
Beloved for its decentralized nature, cryptocurrency has also been increasingly accepted as a means of exchange for goods and services like any other nationwide in the U.S. Its lack of regulation has been both part of what has attracted enthusiasts and, in the past, a liability, as the technology has been plagued by a series of high-profile hacks, costing investors millions and destabilizing the industry.
In 2015, New York paved the road for regulations as Cuomo required those working in virtual currency to obtain special business licenses. The creation of the task force and the bill signed by the governor marked another historic acknowledgment of the potential impact of cryptocurrencies on the future of finance.
Being a “financial capital of the States,” all legislations accepted in New York impact the whole country. Upon the introduction of the crypto-related bill, we should expect more states to be more active with adopting cryptocurrency, experts say.