Eric Adams, who became mayor of New York City in January, has reportedly been behind a campaign pledge to make the city a crypto hub in 2022, despite a price drop for many tokens.
According to a Dec. 12 report by Slate, Adams suggested he still wanted to make New York City the “hub of the cryptocurrency industry” — one of the plans he announced during his tenure as mayor in November 2021. The mayor of New York City reportedly converted the first of his three paychecks during his tenure into Bitcoin (BTC) and Ether (ETH) in January and February, ahead of the crypto market downturn.
“Mayor Adams believes that cryptocurrency, blockchain and other emerging technologies offer an incredible opportunity for innovation and economic growth over the long term, and he wants that to happen right here in New York,” reportedly said Jonah Allon, a public relations officer for Adams. “As with all financial products, price volatility is an expected feature of the market – and it’s short-sighted to think that setbacks in an industry are an indication that it will not experience long-term growth.”
Slate’s estimates suggest that Adams could have lost up to 60% of his crypto investment – assuming he hoarded those funds – based on the price of BTC and ETH. At the time of publication, BTC is at $16,998 after falling more than 66% over the previous 12 months, while ETH is at $1,249 and down around 70% over the same period.
During Adams’ tenure, the New York state government passed legislation imposing a two-year moratorium on proof-of-work mining using non-renewable energy sources. The NewYorkCityCoin (NYCCoin) project, launched in November 2021 with the backing of the then-elected mayor, is also down more than 93% over the past 12 months, topping at around $0.0003 at press time.
Related: Crypto City: Guide to New York
The collapse of crypto exchange FTX also appears to have prompted state regulators and lawmakers to act, with New York Attorney General Letitia James recommending banning crypto investments from certain pension funds. New York Representative Ritchie Torres also authored a letter on Dec. 6 requesting the US Government Accountability Office to review the Securities and Exchange Commission’s performance on FTX.
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