New York City now has its own token, the NYCCoin, following in the footsteps of Miami. The move is designed as a tool to increase crypto-based transactions and generate extra revenues for the municipality.
The token has been created by CityCoins, the same business behind the Miami crypto protocol that so far has made the city over US$ 21 million in additional revenue.
CityCoins are programmable tokens that generate funds for the city through their mining by local residents, with miners getting 70% of the tokens’ value whilst 30% are returned to the city’s coffers in the form of STX tokens. The concept’s first supporter, Miami mayor Francis Suarez, estimates that MiamiCoin can generate the city some US$ 60 million per year.
Although New York City’s government hasn’t officially partnered with the scheme, mayor-elect Eric Adams has been a vocal supporter of moves to make the city a crypto centre and has been posting positive comments on Twitter in relation to CityCoins’ plans.
When the date for the mining of NYCCoins was announced, Adams welcomed the move on social media, stating that “we are glad to welcome you to the global home of Web3! We’re counting on tech and innovation to help drive our city forward”.
Since his election, Adams has been stressing his focus on innovation as a way to move New York forward and has repeatedly stated his interest in seeing crypto-related businesses operating from the city.
"Local leaders in Miami and New York are shifting the narrative of suspicion over cryptos as they see the transformative impact they can have for local economies – from employment opportunities to new sources of revenue. Other municipal leaders must pay attention to these moves if they want to play a part in the financial sector’s revolution that Blockchain technology is bringing with it."
Warned the founder and CEO of Dynasty Global Investments AG, Eduardo Carvalho.