The New York controller rejected a mayor’s plan Eric Adams to support municipal obligations with Bitcoin
The appellant “legally doubtful and fiscally irresponsible”.
Controller Brad Lander, who will include the city’s debt program, rejected the proposal only a few days after Adams presented the so-called “Bitbond” to a crowd at a Bitcoin conference in Las Vegas.
“Cryptocurrencies are not stable enough to finance the infrastructure of our city, affordable housing or schools,” Lander said in a press release. He added that such a decision could shake up investors’ confidence and arise against the federal tax law.
The idea is part of the wider push of Adams to position New York as a global cryptography center. Since its entry into office, it has converted the payroll checks to crypto and has launched advisory advice on digital assets.
But Lander rejected against the obligation, which could use part of the product to buy BTC. He argued that the city’s borrowing system is based on the US dollar, and that any gap would require mechanisms that the city does not have, as the conversion of bitcoin in cash for public spending.
