Eric Adams, who became mayor of New York City in January, has reportedly stuck behind a campaign promise to make the city a crypto hub, despite a price drop for many tokens in 2022. .
According to a December 12 report by Slate, Adams suggested that he still wanted New York City to be the “center of the cryptocurrency industry.”one of the plans that ad during his run for mayor in November 2021. The New York mayor reportedly converted the first of his three paychecks while in office into Bitcoin (BTC) and Ether (ETH) in January and February, before of the cryptocurrency market crash.
“Mayor Adams believes that cryptocurrency, blockchain, and other emerging technologies offer an incredible opportunity for innovation and long-term economic growth, and he wants to see that happen right here in New York,” Jonah Allon reportedly said, Adams’ press secretary. “As with all financial products, price fluctuations are an expected feature of the market – and it is myopic to believe that downturns in an industry are an indication that it will not experience long-term growth.”
Slate’s estimates suggested that Adams could have lost up to 60% of his cryptocurrency investment – assuming he HODLed those funds – based on the price of BTC and ETH. At press time, the price of BTC was $16,998, having fallen more than 66% in the previous 12 months, while ETH was $1,249, having fallen roughly 70% over the same period.
During Adams’ tenure, the New York state government passed a law that will place a two-year moratorium on proof-of-work mining. The NewYorkCityCoin (NYCCoin) project, which launched in November 2021 with the support of the then mayor-elect, has also fallen more than 93% in the past 12 months, reaching a price of approximately $0.0003 at press time.
The collapse of cryptocurrency exchange FTX also appears to have spurred state lawmakers and regulators to act, with New York Attorney General Letitia James recommending that certain retirement funds be banned from crypto investments. New York Representative Ritchie Torres also wrote a letter on December 6 asking the US Government Accountability Office to investigate the Securities and Exchange Commission’s actions in relation to FTX. FTX.
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