New York is looking at establishing a formal cryptocurrency task force that would help establish rules and encourage a more widespread use of the technology.
The move was proposed by the New York State Assembly at the end of May and, if it is approved, a nine-person task force will be responsible for investigating the cryptocurrency sector and reporting back with their findings.
The areas they will be looking at are:
-a review of the impact of the department of financial services’ regulations on the development of digital currency, cryptocurrency and blockchain industries in New York state;
-the number of digital currencies currently being traded and their approximate percentage of market share;
-the number of exchanges operating in New York state and their average monthly trade volume;
-the use of digitial currencies’ impact on state and local tax receipts;
-the types of investment entities that are large investors in digital currency;
-the energy consumption necessary for coin mining operations and other policy considerations related thereto;
-the transparency of the digital currency marketplace and the related potential of market manipulation and other illegal activities;
-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
-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.
The task force would immediately begin work, and do so until December 2019.