Bitcoin has develop into an integral a part of New York City Mayor Eric Adams’ monetary technique, as he boldly embraced the cryptocurrency and positioned the town as a thriving hub for the business.
However, an unlucky oversight occurred when Adams mistakenly didn’t disclose a sure side of his involvement with Bitcoin, a misstep that stemmed from his perception that it didn’t qualify as a safety, in keeping with his workforce.
Renowned for his outspoken help of Bitcoin, Adams, who beforehand served as a police officer, wholeheartedly advocates for the widespread adoption of the cryptocurrency.
In a daring transfer, he even opted to obtain a portion of his salaries in Bitcoin, favoring the decentralized digital foreign money over conventional fiat currencies.
Bitcoin: A Currency, Not a Security, Says Adams’ Team
In his complete 2022 monetary disclosure report, the mayor encountered a big oversight. When particularly requested whether or not he held any securities, together with shares, bonds, ETFs, mutual funds, or cryptocurrencies, with a market worth of $1,000 or extra on the finish of 2022, he answered “no.”
However, upon nearer examination, it was found that his Bitcoin and Ether holdings weren’t included within the disclosure. The mayor’s workforce promptly acknowledged the error and guaranteed that an modification could be made to rectify the scenario.
Fabien Levy, Adams’ press secretary, revealed to The New York Daily News on Thursday that the explanation behind the omission of the mayor’s crypto holdings was a misunderstanding of the query posed within the disclosure report.
According to Levy, Adams mistakenly believed that the query solely encompassed securities, failing to acknowledge that it additionally encompassed currencies, together with cryptocurrencies like BTC and Ether.
Bitcoin nonetheless maintains its footing previous the $30K territory. Chart: TradingView.com
SEC Chair Gensler’s Clarification: Bitcoin Is A Commodity, Not A Security
In shedding additional gentle on the classification of Bitcoin, it’s important to think about the statements made by Securities and Exchange Commission (SEC) Chair Gary Gensler. In a June interview, Gensler explicitly acknowledged that the crypto is just not categorized as a safety, emphasizing that it falls below the classification of a commodity.
Gensler mentioned:
“Some, like Bitcoin, and that’s the only one, Jim, I’m going to say because I’m not going to talk about any one of these tokens [that] my predecessors and others have said [are] a commodity.”
The distinction between currencies and securities inside the realm of cryptocurrencies can certainly be intricate and nuanced.
While Gensler avoided discussing particular tokens aside from Bitcoin, his remarks underscored the distinctive standing of the pioneering cryptocurrency.
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