New York State Regulatory Dilemma: The Clash Between the Ideal and Reality of Crypto Applications

OnChainDetective · 2025-12-30T11:20:10+00:00

A New York City official plans to shift to the cryptocurrency sector, using blockchain to address social issues, but strict Bitcoin licensing regulations limit innovation, reflecting the conflict between policy and industry development.

OnChainDetective

2025-12-30 11:20:10

Abstract generation in progress

【Crypto World】An interesting topic has been circulating within the industry. A New York City official stated that they plan to shift towards the cryptocurrency sector after leaving office, hoping to use blockchain technology to address social issues such as anti-Semitism, violence, and educational inequality. Sounds promising, but here’s the problem.

New York State’s Bitcoin licensing system is particularly strict. Currently, this framework mainly allows institutions to operate on the two mainstream public chains, Bitcoin and Ethereum, with little room for other cryptocurrencies. This directly stifles many creative application possibilities. Want to use crypto technology for public welfare or social innovation? Under New York State’s regulatory framework, the difficulty level is extremely high.

This reflects a real contradiction: policymakers recognize the potential of crypto technology, but existing regulatory tools have not kept pace with industry innovation. In this case, even the best ideas may struggle to succeed within the system’s constraints.

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MetaMaskVictim

· 13h ago

This regulatory framework is truly exceptional, only allowing trading of BTC and ETH, while other chains are outright banned. It's often said to protect investors, but in reality, it's stifling innovation.

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RugDocDetective

· 19h ago

This framework in New York is truly amazing. They promised to support innovation but ended up blocking all the paths. Politicians just talk and don't take action.

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HodlTheDoor

· 19h ago

New York State's licensing system is truly incredible. If you want to innovate, you're immediately blocked. You can only play with BTC and ETH; forget about everything else. Regulators say they support blockchain in words, but behind the scenes, they hold the gate tightly and don't loosen their grip. It's hilarious.

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FastLeaver

· 19h ago

It's the same old trick again. It sounds nice, but in reality, you're just trapped. The idea is indeed good, but New York's licensing system is really top-notch. With only two chains allowed to operate, there's no room for innovation. To be honest, regulators are still stuck in risk prevention thinking and haven't considered how to support innovation. No wonder progress is stalled.

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LiquidityOracle

· 20h ago

New York's licensing system is really rigid, only allowing BTC and ETH? How can innovative projects survive... Regulators claim to support, but their frameworks lock down all ideas, it's laughable. It's the same old story, good ideas are killed by rules, ultimately policies can't keep up. Politicians want to get things done, but end up stuck in approval hell, this is the American-style Web3 situation. Real social innovation dies at the compliance hurdle, New York State, what are you doing here?

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