New York’s Crypto Payment Bill Signals a Big Win for Digital Assets

Could Bitcoin and Ethereum Become Legal Tender in NY?

New York’s latest bill to accept crypto payments marks a bold step toward mainstream adoption, potentially setting a precedent for other states.

New York has taken a groundbreaking step toward embracing cryptocurrency with Bill 7788, introduced on April 10, 2025, allowing state agencies to accept digital assets like Bitcoin (BTC) and Ethereum (ETH) as payment. The legislation could reshape how governments interact with blockchain technology, signaling a seismic shift in the Empire State’s approach to crypto.

A Game-Changing Proposal

Introduced by Assemblymember Clyde Vanel, Bill 7788 amends the state finance law to permit agencies to enter into agreements with individuals, partnerships, or corporations to accept cryptocurrencies—specifically Bitcoin, Ethereum, Litecoin, and Bitcoin Cash—for fines, civil penalties, taxes, fees, and other state payments. “This is about giving New Yorkers options while keeping pace with innovation,” Vanel said in a statement.

The bill defines “cryptocurrency” as a decentralized digital currency, explicitly naming Bitcoin, Ethereum, Litecoin, and Bitcoin Cash as accepted forms. Agencies must establish terms for accepting such payments, ensuring compliance with state financial obligations.

A Long Road to Acceptance

New York’s crypto journey hasn’t been smooth. The state’s BitLicense regime, launched in 2015, has drawn criticism for stifling innovation, while a 2022 moratorium on proof-of-work mining (like Bitcoin’s) sparked backlash. Yet, recent shifts, including the SEC’s 2024 approval of Bitcoin ETFs, have softened attitudes. The bill’s timing aligns with broader U.S. trends, such as President Trump’s signing of the first crypto law on April 10, scrapping the IRS’s DeFi Broker Rule, which signals a more crypto-friendly regulatory environment.

What’s Next?

If signed into law, the bill takes effect 90 days later, potentially by July 2025. It could position New York as a crypto hub, especially after Trump’s pledge to make the U.S. the “crypto capital.” For now, the market awaits the legislative outcome—will New York lead the charge in crypto adoption, or will hurdles derail this bold vision?