Establishes the New York state cryptocurrency and blockchain study task force, the official text

S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  3279--A
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 27, 2025
                                ___________
 
 Introduced  by M. of A. VANEL, BURDICK, SAYEGH -- read once and referred
   to the Committee on  Banks  --  committee  discharged,  bill  amended,
   ordered reprinted as amended and recommitted to said committee
 
 AN ACT in relation to establishing the New York state cryptocurrency and
   blockchain  study  task  force;  and  providing for the repeal of such
   provisions upon expiration thereof
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Short  title. This act shall be known and may be cited as
 the "New York state cryptocurrency and blockchain study act".
   § 2. There is hereby established the New York state cryptocurrency and
 blockchain study task  force  (hereinafter  referred  to  as  "the  task
 force")  within  the  department  of  financial  services to provide the
 governor and the legislature with information  on  the  effects  of  the
 widespread use of cryptocurrencies and other forms of digital currencies
 and  their  ancillary  systems,  including but not limited to blockchain
 technology, in the state.
   § 3. 1. The task force shall consist of sixteen members as follows:
   a. six members appointed by the  governor,  which  shall  include  the
 following:
   i. the superintendent of the department of financial services, or such
 superintendent's designee;
   ii.  the commissioner of the department of environmental conservation,
 or such commissioner's designee;
   iii. the commissioner of taxation and finance or  such  commissioner's
 designee;
   iv. a representative from the financial services industry;
   v.  a  representative  from a state or national organization promoting
 environmental conservation; and
   vi. a representative who is a faculty member of an accredited  college
 or university in New York state with experience in economic studies.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD06929-02-5
 A. 3279--A                          2
 
   b.  the  comptroller  of  the  state of New York, or the comptroller's
 designee;
   c.  four  members  appointed by the temporary president of the senate,
 two of which are representatives from two separate cryptocurrency  trade
 groups, organizations, or companies;
   d. four members appointed by the speaker of the assembly, two of which
 are  representatives  from  two  separate  cryptocurrency  trade groups,
 organizations, or companies; and
   e. the attorney general of the state of  New  York,  or  the  attorney
 general's designee.
   2.  To  the  extent  practicable,  members appointed to the task force
 shall have relevant experience  and  knowledge  concerning  the  digital
 currency, cryptocurrency and blockchain industries.
   3.  The  members  of  the task force shall receive no compensation for
 their services, but shall be allowed their actual and necessary expenses
 incurred in the performance of their duties pursuant to this act.
   4. Any vacancies in the membership of the task force shall  be  filled
 in the same manner provided for in the initial appointment.
   5.  The task force may consult with any organization, government enti-
 ty, or person, in the development of its report required  under  section
 four of this act.
   6.  The  members  of  the  task force shall be appointed no later than
 ninety days after the effective date of this act.
   § 4. On or before December 15, 2027, the task force  shall  submit  to
 the  governor,  the temporary president of the senate and the speaker of
 the assembly a report containing, but  not  limited  to,  the  following
 information based on available data:
   a.  a  review  of  the digital currency, cryptocurrency and blockchain
 industries in New York state;
   b. the number of digital currencies currently being traded  and  their
 approximate percentage of market share;
   c. the number of exchanges operating in New York state and their aver-
 age monthly trade volume;
   d.  the  use  of  digital  currencies'  impact  on state and local tax
 receipts;
   e. the types of  investment  entities  that  are  large  investors  in
 digital currency;
   f.  the  energy  consumption  necessary for coin mining operations and
 other policy considerations related thereto;
   g. the environmental impact of coin mining operations;
   h. the transparency  of  the  digital  currency  marketplace  and  the
 related potential of market manipulation and other illegal activities;
   i.  a review of laws and regulations on digital currency used by other
 states, the federal government, foreign countries, and foreign political
 and economic unions to regulate the marketplace; and
   j. legislative and regulatory recommendations,  if  any,  to  increase
 transparency  and security, enhance consumer protections, and to address
 the long-term impact related to the use of cryptocurrency.
   § 5. This act shall take effect immediately and shall expire  December
 15,  2027 when upon such date the provisions of this act shall be deemed
 repealed.