New York lawmakers are working together to come up with a proposal to set up their own cryptocurrency

US lawmakers have proposed a cryptocurrency in New York. The proposed cryptocurrency will act as a form of hyper-localized digital currency that will run on a peer-to-peer payment platform.

NY cryptocurrency
Image via elevenews

The proposal comes from New York State Assembly member Ron Kim, Senator Julia Salazar and Cornell law professor Robert Hockett, who published a whitepaper to explain this idea as it came with the general requirement for cryptocurrencies to eliminate middlemen in November 2019.

According to data from the US government, more than 14 million mature Americans lacked bank accounts in 2017. For various reasons, from personal choice to a range of prohibitive factors such as lack of personal identity and unemployment, or the inability to pay minimum balance and/or transport to the bank during business hours.

Robert Hockett, who joined Cornell’s law department in 2004, made a proposal on the subject of creating a state payment and monetary payment platform in New York with the aim of alleviating economic problems for Individuals and small businesses do not have a bank account. Professor is appointed by State Assemblyman Ron Kim (D-Queens).

Kim introduced a bill in New York Congress that would set up a new Empire State system, named the New York Inclusive Value Ledger. It is referred to the Assembly’s Committee on Banks. State Senator Julia Salazar (D-North Brooklyn) is leading the parallel law in the other chamber.

New York cryptocurrency’s operation

Payments are peer-to-peer and feeless, no less but instead of a truly distributed ledger, the ledger will be maintained by a New York Master Account Administrator, one and a Master account, which takes the form of one of publicity of the governmental unit in question or of a legal trustee dealt with and administered by that entity.

The paper’s authors call it Public Venmo, a way for state citizens to access the digital economy of the internet. But unlike Venmo, it won’t charge for instant bank transfers or credit card systems.

Lawmakers also said that the $ 55.7 billion the state issues with taxes, money transfer credits and other government benefits will be distributed using a digital debit-credit ledger system.

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