Author: Gan Jia Ci
It seems that cryptocurrencies are here to stay.
Voted on 30 May, the legislature state of New York proposes a bill to establish a cryptocurrency task force.
If the bill passes, the task force will be launched as a nine-person team that is expected to provide a comprehensive report of their research by December next year, where the main objective is to to explore the realm of prospering cryptocurrency and blockchain market in the state.
According to the summary published, the task force is required to present their findings to the governor, temporary president of the senate and the speaker of the assembly. Should the need arise, the team may “consult with any organization, government entity, or person, in the development of its report required”.
Proposing to establish cryptocurrency task force implies that the government has come to terms with the crypto brunt, and acknowledged the role of cryptocurrency in the financial economy despite the backlash by critics who called the digital coins a bubble with no substantial impact in the long run.
The task force will be expected to report findings on the impact of regulations on digital currency and blockchain development in New York, the number of cryptocurrencies being traded, their relative market share and the number of exchange platforms performing in the state and their average trade volume per month.
Beyond those data, the team is also required to find out who the large investors in digital currencies are and how much energy is used to mine cryptocurrencies. In addition, the report also expects an analysis of how transparent the cryptocurrency market is, the possibility of market manipulation and the current types of cryptocurrency laws by other states and nations.
Lastly, the team is also required to research on ways that the state can increase transparency within the market and improve on consumer protection. Finally, the task force will come up with a conclusion that allows the state to address the effect of cryptocurrencies in the long run.