In a Facebook post by Clyde Vanel, a New York State Legislature Assemblyman announced on 3rd January that the first ever cryptocurrency task force of the US will be launched soon.
Mr. Clyde Vanel, the Assembly Member of the 33rd District of the New York State Assembly and the Chair of the Subcommittee on Internet & New Technologies said in his post that it has happened for the first time in US that a cryptocurrency task force will be introduced. The purpose of creating a cryptocurrency task force is to understand and study the use of cryptocurrencies, the regulations on them and their role in the world of trade. A bill was passed as “The Digital Currency Study Bill” on 21st December, 2018 into law by the Governor of New York, Andrew Cuomo.
On the creation of the new task force, Mr. Vanel stated:
New York leads the country in finance. We will also lead in proper fintech regulation. The task force of experts will help us strike the balance between having a robust blockchain industry and cryptocurrency economic environment while at the same time protecting New York investors and consumers.
According to Mr. Clyde Vanel, the New York market is ahead of other markets in the country in terms of financial activities and that it is also expected to lead in the fintech industry. He believes that the task force will contribute in keeping a balance between the strong blockchain industry and the digital currency’s economic environment and also providing safety to the New York investors and consumers so that they can carry out their financial activities safely.
When the suggestion of creating a cryptocurrency task force was given by the New York State Legislature earlier in 2018, the banks committee voted in favor of this progressive step. The invention of a cryptocurrency task force is directed towards studying the effects of the execution of cryptocurrencies on the active financial markets in New York which is considered favorable and necessary by the banks committees.
Thus, the members of the task force which included the investors, consumers, technologists, blockchain companies and academics were appointed by the Governor, Senate and the Assembly of New York State and were urged to submit reports by the end of the year 2020 covering the pros and cons of the cryptocurrency task force. These reports are essential for the study of cryptocurrency task force as they will include the effects of the regulations on the development of cryptocurrencies and the blockchain operating industries in the New York State. Furthermore, the cryptocurrency task force will also help examine the impact of cryptocurrencies’ use on the local tax receipts and the liquidity of the crypto industry.
Julie Samuels, the Executive Director of Tech:NYC, a non-profit organization that represents New York’s technology companies also gave her insight on this new development, saying:
Cryptocurrencies and blockchain technology will, without a doubt, greatly impact finance and many other industries across the globe for years to come.
She believes that it is no hidden truth that the digital currencies and blockchain technology will have a massive influence on the finances and industries all around the world for quite some time now. With the advancements in the world of crypto, new opportunities will follow which will only prove useful for organizations, investors, institutions and consumers operating in this field.
Following the practices of the New York state, other states in the US have elected bodies to study the impact of blockchain technology and digital currencies on the state commerce, providing them with knowledge of effects that the cryptocurrencies have on financial markets.
Dannel Malloy, the Governor of Connecticut also signed a bill (SB 443) into law in June 2018 which urged the formation of a group studying the impacts of the technology on the financial markets. The law also included commencing reports on the use of digital currencies in criminal and fraudulent activities in order to control such activities and minimize them as much as possible.
Hence, the idea of a cryptocurrency task force initiated by the state of New York has been applauded by many experts of the field and is being adopted by other states in the US as well who are willing to form teams that would study the technology for the beneficiaries of the financial markets within different states. The progress of this task force will be thoroughly examined with accordance to its effect on different markets around the globe with the help of various reports.