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New York Senate gets bill to make Bitcoin (BTC) a form of payment

TL;DR

  • The New York Senate has been presented with a measure that would legalize the use of cryptocurrencies like Bitcoin and Ethereum for transactions with state agencies.
  • An Arizona state senator has introduced several bills concerning cryptocurrencies, including one that would recognize bitcoin as a legal tender in the state.

A bill that would make using cryptocurrencies like Bitcoin (BTC) and Ethereum as a method of payment in state government entities has been submitted to the New York Senate.

What the New York bill aims to do

The bill, which was introduced on January 26th, reveals revisions to the state’s existing financial law in order to provide room for the usage of cryptocurrencies.

Clyde Vanel, a Democrat from the New York State Assembly, is widely regarded as a crypto-friendly legislator, and he presented bill A523 on their behalf.

The law defines cryptocurrency as any kind of digital money in which encryption methods are employed to manage the formation of units of currency. This definition include cryptocurrencies such as Bitcoin, Ethereum, Litecoin, and Bitcoin Cash, amongst others, but is not exclusive to them.

The measure does not mandate that state agencies accept cryptocurrencies as a form of payment; nevertheless, it does make it very clear that state entities might legally agree to accept such payments, and that these agreements ought to be enforced by the judicial system.

It enables state agencies to engage in agreements with individuals to facilitate the acceptance of cryptocurrencies by offices of the state as a form of payment for a variety of different kinds of fees, including fines, civil penalties, rent, rates, taxes, fees, charges, income, financial responsibilities, or other sums, including penalties, special assessments, and interest, payable to state agencies.

U.S. state to make Bitcoin a legal tender?

As was reported by Cryptopolitan on Jan. 26, Wendy Rogers, a state senator in Arizona, has proposed a number of laws relating to cryptocurrencies, one of which would declare bitcoin a legitimate form of currency in the state. One of the proposals suggests recognizing bitcoin as a valid form of currency.

The king cryptocurrency is defined by the law as the decentralized, peer-to-peer digital currency that works independently of a central bank and in which a record of transactions is preserved on the bitcoin blockchain. Additionally, new units of money are produced by the computational solution of mathematical problems.

The second bill recommends that state agencies engage in an arrangement with a cryptocurrency issuer to take cryptocurrency for the payment of fines, civil penalties or other penalties, rent, rates, taxes, fees, charges, income, financial obligations, and special assessments owed to that agency or Arizona state.

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Jai Hamid

Jai Hamid is a passionate writer with a keen interest in blockchain technology, the global economy, and literature. She dedicates most of her time to exploring the transformative potential of crypto and the dynamics of worldwide economic trends.

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