Companies hope the incoming mayor will make NYC a digital asset hub. In the face of competition from cities such as Miami and Austin. To attract digital asset companies, John Wu was unsure. Whether to make New York City the permanent home. Of his cryptocurrency and blockchain start-up Ava Labs. That is, until Eric Adams was elected mayor in November and changed his mind.
When it came to deciding whether to establish a permanent office. In New York City in November, Wu said the election of Adams was a “significant factor.” Adams is a bitcoin fan who has committed to convert the Big Apple into a crypto hub.
According to Wu, the business’s president. “Knowing that we have an administration that is supportive. Especially in the New York City area.” Will be extremely beneficial to the company.
Adams was sworn in earlier this month and has a lot of work ahead of him to make New York. As friendly as other potential crypto centres throughout the country. For cryptocurrency businesses in New York State. There are stringent rules in place, including an expensive registration requirement. And the state attorney general is taking action. Against some of the industry’s biggest players.
But Wu and other cryptocurrency executives believe the mayor’s welcoming attitude. Will attract digital asset start-ups that want to establish their legitimacy. Alongside traditional Wall Street companies and take advantage. Of the financial hub’s extensive talent pool and investor base, among other things.
Additionally, Chainalysis, a bitcoin data platform, has committed to expanding. Its presence in New York City in 2021. Signing a lease in August for a Manhattan office space. That would house up to 200 employees.
The new mayor’s support for the industry and companies hope
According to Michael Gronager, chief executive and co-founder of Chainalysis. “The incoming mayor’s support for the industry only enhances my confidence. That New York is the greatest home for the company’s headquarters.” “We intend to take use of the city’s extensive reservoir of talent. For our next phase of growth,” he continued.
Due to the rapid growth of the digital asset market. As well as the skyrocketing value of cryptocurrencies. (Which reached $3 trillion in November), many countries. Are clamoring for a piece of the action.
At the time of his election campaign, Adams stated an interest in building. A digital wallet for city employees and those who receive public assistance. Following his victory, he offered to accept his first three paychecks. In bitcoin and urged that cryptocurrencies and blockchain technologies. Be taught in New York City schools.
“New York City is poised to become the epicenter of the Bitcoin sector…
“Wait and see!” he wrote on Twitter in November.
Adams has yet to offer specific measures that would provide an incentive. For crypto companies to locate in New York, in contrast to other cities. Such as Miami and Austin, whose marketing has emphasized their cheap energy costs. And competitive tax rates as reasons to locate there.
In response to a request for comment, the mayor’s office did not answer. Adams has previously stated that he expects his crypto-friendly position. Will bring more tech talent to the city. And many executives feel he is correct in this.
The chief executive of FTX U.S. Derivatives, a crypto derivatives exchange based in Miami. Believes that “it is a really effective signaling tool to… say, ‘Okay, we acknowledge. That this companies hope that business can benefit everyone,” said Zach Dexter.
