On 3 January 2018, Clyde Vanel, a New York state assemblyman and Chair of the Subcommittee on Internet and New Technologies, announced through a Facebook post that New York will be forming the country’s first cryptocurrency taskforce.

The banks committee of the New York state legislature voted for a bill to be signed back in June for the formation of the stated task force. The bill, named “The Digital Currency Study Bill”, was signed into law by the governor Andrew Cuomo on 21 December 2018.

The task force included individuals from multiple fields such as technologists, investors, blockchain developers, academics and consumers, all appointed by the governor, Senate and Assembly. The main aim for the formation of the task force was to define what digital currency is and what regulations should be implemented onto the currency as well as its usages.

The task force must submit a report on 15 December 2020 containing relevant information to how regulations would affect the growth of digital currencies and development of blockchain industries. Additionally, the impacts of cryptocurrencies on the current tax system and the security of the crypto market are to be investigated and reported by the task force.

Vanel stated that the state leads the country in the financial industry and will proceed to lead in regulations concerning fintech (financial technology). The task force was said to be capable of maintaining the balance between the development of a healthy blockchain industry and the protection of the state’s investors and consumers in the industry.

Although New York is the first state to announce an official cryptocurrency task force, other states in the U.S. have also formed organizations to study blockchain technology and the crypto world. For example, Connecticut governor Dannel Malloy signed the bill “SB-443” into law, which formed a group to study blockchain technology and established periods in which potential exploits of crypto by criminals are investigated.

Julie Samuels, executive director of ‘Tech: NYC’, which is a non-profit organization representing tech companies in New York City, also commented that blockchain technology and cryptocurrencies would revolutionize multiple industries worldwide in the future.