New York State is considering imposing new taxes on Crypto Asset trading, sparking discussions about whether stablecoins should be exempt. Recently, New York State Assemblyman Phil Steck made it clear that his proposed Crypto Asset trading tax bill will not create a special exemption for stablecoins.

Stark believes that even if someone uses Crypto Assets as a daily payment tool, they should not receive tax benefits. He candidly stated that he currently does not see the possibility of Crypto Assets replacing the dollar in everyday transactions.

This proposal suggests imposing a tax rate of 0.2% on Crypto Assets transactions. According to Stak, this move could generate approximately $158 million in tax revenue for New York State each year. This funding will primarily be used to support schools in Northern New York State, helping them address the growing problem of substance abuse. Specifically, these funds will be used to expand existing related support programs.

Stark's position may impact users who wish to use stablecoins for everyday transactions. At the same time, it reflects that regulatory authorities are striving to find a balance between encouraging innovation and protecting consumers.

As the Crypto Assets market continues to evolve, similar discussions about tax policies may emerge at the state or even federal level. This highlights the regulatory challenges faced by the encryption industry and how the government views and handles this emerging asset class.