The Recent York controller, Brad Lander, criticized the proposal of the mayor Eric Adams to issue city bonds supported by Bitcoin, warning that such a move would introduce financial risk and undermine investors’ trust.

In a statement of May 29 Lander he said He would not allow Recent York to issue a cryptocurrency debt instrument during office. Landera’s office is responsible for the debt emission at the Mayor’s Management and Budget Office.

“Cryptocurrencies are not stable enough to finance infrastructure in our city, inexpensive apartments or schools,” said the controller, adding that the proposal reveals the city
“According to the new risk and trust of bond buyers.”

According to For Bloomberg, Lander is also a potential contender to replace Adams in the November election, acting as a democrat, while Adams is looking for re -election as independent.

Adams announced plans to introduce urban bonds supported by Bitcoin or Bitbond, on May 28 at the Bitcoin 2025 conference in Las Vegas, Nevada. Adams also repeated calls to repeal the Bitlicense program in Recent York.

“I believe that we must have bitbond, and I intend to push and fight for Bitbond in New York so that you can make the same bond investments in New York,” Adams told the crowd at the conference.

Marsh Bryf of Policy from Bitcoin Policy Institute, Bitcoin Lobby Group, outlined Potential Bitbonds model. According to the document, the bondholders earn 1% of the annual interest rate in 10 years, and after maturity they also received participation in the price of bitcoins. The document also suggests that 90% of the collected funds were spent on government expenditure, while the remaining 10% will be used to buy Bitcoins in a strategic reserve.

Lander’s statement included a simulated model of a potential bond structure. According to the document, investors would receive 100% recognition of Bitcoins to 4.5% of the annual return from the threshold convoluted for 10 years. “After reaching the threshold, investors receive 50% additional recognition of Bitcoins. The government retains the remaining 50% of profits at the threshold.”

Adams has not yet provided further details about the functioning of the proposed bitbond. Lander’s statement emphasized that Recent York is primarily bonds to finance capital assets and can finance other goals only in very confined and narrowly defined circumstances. According to the Comptroller Directive, capital assets are long -term investments, such as infrastructure or modernization of technologies that bring the city in many rotational years.

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