New York State Assemblymember Phil Steck introduced Bill A0966, proposing a 0.2% excise tax on cryptocurrency transactions to fund substance abuse programs in upstate schools. The tax, estimated to yield $158 million annually, applies to NFTs, mined assets, and stablecoins, leveraging Chainalysis data adjusted for New York’s GDP share. Steck’s memo cites crypto’s fraud risks (e.g., Gemini’s $50M settlement) and environmental concerns from mining. The bill aligns with states like Wyoming using crypto revenues for education, though NY’s DFS withheld transaction volume data. Critics argue the broad tax could impact NYC’s crypto hub status, home to firms like Circle and Galaxy Digital.
read moreLetitia James
0 posts last week
NY AG Urges Stronger Stablecoin Regulations
New York Attorney General Letitia James has pressed Congress to strengthen pending stablecoin legislation, emphasizing the need for bank-like regulations and FDIC insurance to mitigate systemic risks. In a letter to lawmakers, she criticized the STABLE Act and GENIUS Act for insufficient safeguards, warning they fail to protect the public or the banking system. James urged careful drafting to balance innovation with financial stability, calling the U.S. banking system a global model that must be preserved.
read moreCitibank Denies $40K Fraud Reimbursement Amid Security Lawsuit
Citibank is embroiled in controversy after denying reimbursement to 88-year-old Lois Nadler, whose account was drained of $40,000 in an unauthorized transfer to Hong Kong. The bank asserts she authorized the transaction via phone, but Nadler disputes this, stating the funds were donations for her granddaughter’s surgery. The case adds fuel to ongoing legal battles, including a lawsuit by New York’s Attorney General accusing Citibank of failing to prevent fraud despite customer alerts. The bank’s security protocols are now under intense scrutiny as investigators review the incident.
read moreNew York Moves to Legalize Crypto Payments
New York is advancing toward crypto adoption with a new bill that would allow state agencies to accept cryptocurrencies like Bitcoin and Ethereum for payments such as taxes, fines, and penalties. The proposal, introduced by Assembly member Clyde Vanel, amends existing State Finance Law but does not mandate commercial adoption. Meanwhile, New York Attorney General Letitia James is urging federal lawmakers to establish a regulatory framework for crypto, including stablecoin oversight. The state, known for its strict BitLicense regime, is also exploring a crypto task force to assess regulations and combat scams. The bill still requires approval from the Assembly, Senate, and Governor Kathy Hochul before becoming law.
read moreNY AG Warns Bitcoin Threatens U.S. Dollar Dominance
New York Attorney General Letitia James has raised concerns that Bitcoin’s growing use in cross-border transactions threatens the U.S. dollar’s supremacy in global finance. In a letter to Congress, she urged comprehensive crypto regulation, citing risks to economic influence and sanctions effectiveness. The warning aligns with a 2023 U.S. Government Accountability Office report, which highlighted digital assets’ potential to weaken dollar dominance. James also emphasized the need for anti-money laundering measures and stricter oversight. Meanwhile, political forces are pushing for stablecoin regulation, with crypto firms spending heavily to influence policy. Bitcoin remains resilient at $80,616 despite recent regulatory scrutiny.
read moreNY AG Warns Bitcoin Threatens U.S. Dollar Dominance
New York Attorney General Letitia James has raised alarms over Bitcoin’s potential to weaken the U.S. dollar’s global supremacy, citing its use in cross-border transactions that bypass traditional fiat systems. In a letter to Congress, she urged swift regulatory action, warning that unchecked crypto growth could destabilize financial markets and reduce the effectiveness of U.S. sanctions. James also highlighted concerns over criminal misuse of digital assets, advocating for stricter AML rules and enforcement. The debate intensifies as crypto firms spend heavily on lobbying, and reports suggest the Trump administration may push a stablecoin bill by August. Despite regulatory scrutiny, Bitcoin remains resilient, trading around $80,616.72.
read moreNYAG Urges Congress to Pass Federal Crypto Regulation
New York Attorney General Letitia James has urged congressional leaders to pass federal legislation regulating the crypto sector, warning that the lack of uniform rules fuels fraud, market instability, and criminal abuse. Her letter cites $12 billion in crypto fraud losses in 2024 alone and proposes measures such as mandatory registration for crypto firms, stablecoin reserve requirements, and AML-compliant platforms. James argues that federal oversight is critical to closing regulatory loopholes, enhancing transparency, and preventing digital assets from being exploited for illicit activities. The push follows recent DOJ enforcement restructuring and emphasizes the need for nationwide standards to protect retail investors and financial markets.
read moreNew York Attorney General Seizes 2.2 Million in Crypto Employment Scam
New York Attorney General Letitia James has frozen $2.2 million in cryptocurrency linked to an employment scam that deceived victims nationwide. Scammers lured individuals with false promises of remote jobs, convincing them to buy stablecoins and deposit them into controlled accounts under the guise of legitimizing their work. James plans to notify the scammers of impending litigation by depositing NFTs into the wallets used for the theft, marking a first for state or federal regulators.
read moreRegulatory Changes and Legal Actions in Global Cryptocurrency Landscape
Rostin Behnam, chair of the CFTC, will resign on January 20 after advocating for stronger crypto regulations during his tenure, which included a $4.3 billion settlement with Binance. In Russia, authorities are seizing $10 million in Bitcoin from a former official convicted of bribery, while the IMF urges Kenya to update its crypto laws to enhance consumer protection and combat financial crimes. Additionally, New York’s attorney general has filed a lawsuit to recover over $2 million in stolen cryptocurrency linked to a job scam that deceived victims into investing under false pretenses.
read moreNew York Attorney General Uses NFT to Serve Crypto Scam Lawsuit
New York Attorney General Letitia James is suing unidentified scammers who allegedly stole $2.2 million in cryptocurrency from victims seeking remote jobs. To serve the defendants, her office plans to drop a non-fungible token (NFT) into their crypto wallets, linking to lawsuit documents. The stolen crypto has been frozen and will be returned to victims once court permission is secured.
read more