New York Assemblymember Phil Steck has proposed legislation to implement a 0.2% excise tax on cryptocurrency transactions across the state. This tax is expected to generate approximately $158 million annually, based on data from Chainalysis and recent GDP statistics. The revenue is intended to assist schools in combating substance abuse, particularly in areas of upstate New York affected by the opioid crisis. Steck's bill outlines that the tax would apply to various digital assets, including cryptocurrencies, NFTs, and stablecoins. Despite the anticipated revenue, the New York Department of Financial Services did not provide sufficient data on transaction volumes, leading Steck to use alternative sources. This legislation reflects broader trends in state-level initiatives to regulate cryptocurrencies and generate funds for pressing social issues. Recent scrutiny of the crypto sector due to significant fraud cases further underlines the importance of such measures. Meanwhile, other states like Wyoming are also exploring initiatives to harness crypto revenues for educational purposes, indicating a growing recognition of cryptocurrencies' potential economic impact.

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