New York State Proposes Accepting Crypto Payments


May 9, 2023

Listen to this article

State entities in the American state of New York will now be able to accept payments made in cryptocurrencies including bitcoin, ether, litecoin, and bitcoin cash. The proposed law would permit the use of cryptocurrency as "a means of payment of fines, civil penalties, rent, rates, taxes, fees, charges," among other things.

Enactment of a Bill Authorizing State Agencies to Accept Crypto Payments

According to the bill's description on the New York State Senate website, Clyde Vanel of the New York State Assembly submitted a measure on Thursday that "establishes cryptocurrencies as a means of payment for state services." To the New York State Assembly Committee on Government Operations, Assembly Bill A2532 has been referred.

The bill establishes that state entities are permitted to take crypto assets like bitcoin, Ethereum, and Bitcoin cash as payment, according to its summary.

The measure aims to introduce "crypto assets as a means of payment" to the state finance code of New York. The proposal also stipulated that such digital assets include but are not limited to bitcoin, Ethereum, Litecoin, and bitcoin cash. Crypto assets are defined as "any form of digital currency in which encryption techniques are used to regulate the generation of units of currency and verify the transfer of funds, operating independently of a central bank."

The bill's text states that it would give state agencies the power to enter into agreements with people or organizations to accept cryptocurrency "as a means of payment of fines, civil penalties, rent, rates, taxes, fees, charges, revenue, financial obligations or other amounts, including penalties, special assessments, and interest, owed to state agencies."

A similar bill to permit state agencies to accept cryptocurrency was submitted last week by Arizona State Senator Wendy Rogers. She has introduced legislation to legalize bitcoin as money in her state.