Doing it differently than those who came before him, NYC Mayor Eric Adams will be investing his first paycheck as a hizzoner into two cryptocurrencies.
Aiming at boosting cryptocurrencies as a potential economic engine for the city, the Democrat’s office announced Thursday that Adams’ first salary payment will be deposited with Coinbase, an online platform used for buying cryptocurrency, and then converted into Ethereum and Bitcoin.
The city noted in its news release that federal labor rules bar the city from paying employees in cryptocurrency, but that any worker paid in U.S. dollars can use an exchange to buy cryptocurrency.
In a statement regarding his decision, Adams said, “New York is the center of the world, and we want it to be the center of cryptocurrency and other financial innovations. Being on the forefront of such innovation will help us create jobs, improve our economy, and continue to be a magnet for talent from all over the globe.”
Adams has also suggested that cryptocurrency and blockchain technology, a digital ledger where cybercurrency transactions are recorded, should be taught in schools.
All of this being said, several experts were disappointed with Adam’s decision, partly because using cryptocurrencies comes with its own set of risks as well as damage to the environment.
An upstate New York environmental group, Seneca Lake Guardian commented on the matter, saying, “Mayor Adams is dead wrong and his ignorance could cost New Yorkers millions of dollars in energy bills while killing local economies, poisoning our water, and filling our air with deadly C02 emissions.”
Meanwhile, in a ruling last year, State Attorney General Letitia James had investigated cryptocurrency trading platforms and warned that investors “should proceed with extreme caution when investing in virtual currencies. Cryptocurrencies are high-risk, unstable investments that could result in devastating losses just as quickly as they can provide gains.”