New York Introduces 0.2% Crypto Tax for School Funding

Assemblymember Phil Steck proposes a 0.2% excise tax on cryptocurrency transactions in New York to fund substance abuse prevention programs, aiming to help schools combat addiction. This bill (Assembly Bill 8966) would apply to Bitcoin, Ethereum, and other digital assets. The proposed tax could impact exchanges, traders, and DeFi protocols by increasing compliance pressures. Concerns about market liquidity and potential relocation of businesses to jurisdictions with more favorable regulations have surfaced.