New York Assemblymember Phil Steck has introduced legislation proposing a 0.2% excise tax on cryptocurrency transactions, which he estimates could generate $158 million annually. The revenue is intended to support schools in combating substance abuse in upstate New York, addressing the opioid epidemic's impact on communities. The bill, A0966, aims to impose this tax across various crypto transactions, including NFTs, mining, and staking. The estimated revenue calculation is based on data from Chainalysis, which reported $1 trillion in crypto transactions from July 2022 to June 2023. Steck highlighted the significant energy consumption of cryptocurrency mining and the industry's vulnerability to fraud, referencing issues surrounding the collapse of crypto firms like FTX and complaints against companies like Gemini. This proposed tax aligns with efforts in other states like Wyoming to generate educational funds from crypto-related initiatives.

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