New York’s Crypto Scam Bill: Up to $5 Million Fine! 😱💸

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Breaking News: New York State Representative Clyde Vanel has proposed a bill to regulate the Wild West of the crypto world! 🤠

The bill defines a wide variety of crypto-related crimes as fraud, but it limits the resultant penalties. 🕵️‍♂️

The crypto community is thrilled with this effort, as they’ve been dealing with a tsunami of scams lately. 🌊💸

New York Bill Plans Crypto Regulation: Vanel to the Rescue! 🦸‍♂️

US crypto regulation is in limbo right now, and New York State Representative Clyde Vanel may be able to provide some much-needed clarity. Since President Trump took office, federal regulators like the SEC have been claiming they don’t have jurisdiction over crypto enforcement and dropping a tranche of lawsuits. 😱

To that end, Vanel proposed a new bill to clarify crypto regulation. 📜

“Any person, partnership, corporation, company, trust or association, developer, or any agent or employee thereof who violates the provisions of this article shall be subject to a civil fine of not more than $5 million or imprisoned not more than twenty years, or both,” it read. These lesser fees apply to individuals, while organizations could face fines of up to $25 million. 💰

Vanel’s crypto regulation bill sets an ambitious task for itself. The section on penalties is fairly boilerplate, but its various statutes define much of the entire Web3 industry. 🌐

The bill describes several distinct types of scams, thefts, and other criminal practices, legally defining them as fraud. These definitions don’t just apply to crypto; they also cover NFTs, blockchains, DeFi projects, and more. 🎨🔒

Wave of Crypto Scams Continue to Harass the Community: Vanel to the Rescue! 🦸‍♂️🌊💸

So far, the crypto community has responded favorably to the bill’s proposed regulations. It’s easy to see why, as the community is stuck in an unprecedented wave of scams. 🌊💸

The largest crypto hack ever just happened, social engineering scams are raking in huge amounts, and fake political meme coin scams are being launched by sitting heads of state. 😱👑

In short, the community is worried that these scams may damage crypto’s credibility. Therefore, a bill to actually hammer out beneficial regulations could be very useful. 🔨📜

Under Biden’s administration, federal regulators led the charge on crypto crimefighting, sparking fears of overreach. Maybe a legislative effort could change these perceptions. 🤔

Since Vanel filed this bill in New York, its proposed regulations could have a serious impact if passed. The state is a critical finance hub in the US, and New York-based prosecutors handle some of the biggest crypto crimes. 🗽💰

Vanel’s effort doesn’t even ascribe particularly harsh penalties; it’s more important to legally define these actions as fraud. Case in point, the Southern District of New York sentenced Sam Bankman-Fried to higher fines and jail time than Vanel’s bill would allow. 😲

However, it’s still too early to say whether this bill may pass. The community’s initial reaction was positive, but other opinions may come to light. 🤔

Additionally, Vanel introduced this without any cosponsors. The Democrats hold a firm grasp on New York, so Republican cooperation is not necessary, but the bill may still die in committee. 📜🏛️

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2025-03-06 23:01