- New York City’s refusal of Bitcoin-backed bonds under Comptroller Brad Lander’s leadership contrasts with Mayor Eric Adams’ crypto stance.
- Proposal rejection maintains traditional fiscal strategies.
- No institutional shift towards municipal cryptocurrency investments.
On May 31, 2025, New York City Comptroller Brad Lander formally declined Mayor Eric Adams’ proposal for issuing Bitcoin-backed municipal bonds. Adams, an independent candidate, has been a vocal crypto advocate. According to Lander’s remarks, “The stability of Crypto Assets is insufficient to fund our city’s infrastructure, affordable housing, or schools. The proposal for New York City to open its capital planning to Crypto Assets could expose our city to new risks and undermine bond buyers’ trust in our city.”
The decision to reject Bitcoin-backed bonds is due to cryptocurrency’s instability, with risks potentially undermining bond buyers’ trust in New York City. Lander emphasized the necessity for stable funding sources for the city’s infrastructure and housing.
Fiscal Conservatism Prevails Over Crypto Innovation
Brad Lander’s announcement halts any issuance of Bitcoin-backed bonds, marking a divergence from Mayor Adams’ crypto-friendly policy. Lander, a Democrat, underscores the fiscal conservatism of his regime amidst upcoming elections. Stability concerns drive Lander’s opposition, framing crypto’s volatility as a barrier to sustainable city funding. New York’s fiscal policies remain traditional, veering away from cryptocurrency-oriented strategies for crucial sectors like infrastructure.
Notably, the market reaction includes skepticism among crypto proponents and affirmations from fiscal moderates who support Lander’s traditional fiscal strategy. No specific statements from Mayor Adams address Lander’s decision directly, indicating political strategy ahead of elections.
Notably, the market reaction includes skepticism among crypto proponents and affirmations from fiscal moderates who support Lander’s traditional fiscal strategy. No specific statements from Mayor Adams address Lander’s decision directly, indicating political strategy ahead of elections.
Market Data and Expert Insights
Did you know? Previous endeavours using crypto-backed bonds, like in Miami, faced significant scrutiny from credit agencies, underscoring regulatory caution.
CoinMarketCap data reveals Bitcoin is currently trading at $104,718.42 with a market capitalization of $2.08 trillion. BTC price has seen a 23.24% surge over the past 60 days, despite a 3.82% drop in the past week.
Expert insights from Coincu suggest that Lander’s stance aligns with broader regulatory caution, with potential implications for cities exploring crypto in municipal finance. Historical trends indicate persistent volatility concerns will shape future policies.
