NYC Comptroller rejects Mayor Adams’s proposal for Bitcoin-backed bonds
New York City Comptroller Brad Lander opposes Mayor Eric Adams's proposal to issue municipal bonds backed by Bitcoin, citing financial risks and potential loss of investor confidence. Lander stated he would block the issuance of such crypto-tied debt while in office, emphasizing that cryptocurrencies lack the stability needed for funding city infrastructure, affordable housing, or schools. Adams announced the Bitbond proposal at the Bitcoin 2025 conference, advocating for its implementation and calling for the repeal of New York State’s BitLicense program. A policy brief from the Bitcoin Policy Institute outlined a model for BitBonds, suggesting a 1% annual interest rate over ten years and a share of Bitcoin gains for bondholders. Lander's statement included a simulated bond structure, indicating that investors could receive a portion of Bitcoin appreciation beyond a 4.5% threshold. He reiterated that city bonds are primarily for long-term capital assets, with limited exceptions for other purposes. Further details on the BitBond's functionality remain unspecified.
