NYC Mayor Eric Adams Calls for the End of NYDFS’ BitLicense, Proposes ‘BitBond’
New York City Mayor Eric Adams, speaking at Bitcoin 2025 in Las Vegas, advocated for the repeal of the BitLicense and a more welcoming environment for cryptocurrency businesses in New York City. He urged crypto companies to return to New York, emphasizing the city’s potential as a crypto hub and promising a less hostile regulatory climate. Adams, who has previously expressed mixed views on the BitLicense, asserted that excessive regulation can stifle innovation. While acknowledging the need for consumer protection, he stressed the importance of striking a balance between robust regulations and fostering a thriving crypto ecosystem.
His remarks echo his previous statements at New York City’s first crypto summit held at Gracie Mansion. Adams, self-proclaimed “Bitcoin mayor,” directly addressed concerns about the NYDFS’s reputation for stringent regulation, suggesting that while safety is crucial, overregulation is detrimental to growth.
A key element of Adams’s vision is the creation of a “BitBond,” a municipal bond backed by bitcoin. This innovative financing mechanism aims to provide New York residents with tax-advantaged exposure to Bitcoin while simultaneously enabling the city to raise capital. While details regarding the BitBond remain scarce, a policy brief from the Bitcoin Policy Institute proposes a structure where 90% of proceeds fund government initiatives, and 10% is invested in Bitcoin. Bondholders would receive a 1% annual interest for ten years, plus a share of Bitcoin’s appreciation upon maturity, with a tiered payout structure designed to incentivize investment and generate returns for both bondholders and the city. Any remaining bitcoin gains after the defined payout would bolster the city’s Bitcoin reserve.
Adams’s push for crypto-friendly policies comes as he seeks re-election as an independent candidate. His efforts highlight a growing movement within U.S. cities to embrace and regulate cryptocurrency responsibly, fostering economic growth and innovation. The success of his proposals, particularly the BitBond, remains to be seen, but they represent a significant step towards integrating Bitcoin into mainstream municipal finance.
