Each state agency has the authority to enter into agreements with individuals to allow the acceptance of all cryptocurrencies.
The proposal would also allow the authorities to impose a service tax on those who pay with cryptocurrencies.
The decentralized peer-to-peer network built by Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), and Bitcoin Cash (BCH), will all be accepted by New York state agencies under the regulation as per the last week's update.
Each state agency is authorized to enter into agreements with individuals to accept cryptocurrencies as a form of payment for fines, civil penalties, rent, rates, taxes, fees, charges, revenue, financial obligations, or other amounts due to the state, including penalties, special assessments, and interest. This provides an innovative and convenient payment option for citizens.
The terms and conditions governing the acceptance or denial of cryptocurrency as payment, as well as the manner and conditions under which the issuer of such currency must pay any applicable fines to the relevant state agency, shall be determined by any such arrangement.
An organization that issues cryptocurrencies, including but not limited to Bitcoin Cash, Ethereum, Litecoin, and Bitcoin, is known as a "cryptocurrency issuer."
The law would also permit the state to charge a service fee for people who use cryptocurrencies as payment. The law would take effect 90 days after approval if it were to pass.
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