Key Takeaways
- NYC Comptroller Brad Lander rejected the city's proposed bitcoin-backed bond.
- Lander called the BitBond plan fiscally irresponsible and warned of legal conflicts.
- Mayor Adams promoted the bond as part of efforts to make NYC a digital asset hub.
New York City Comptroller Brad Lander has firmly rejected Mayor Eric Adams’ proposal to issue bitcoin-backed municipal bonds, calling the plan “fiscally irresponsible” and “legally dubious.”
Mayor’s vision for digital assets
The so-called “BitBond” was pitched by Adams at a Bitcoin conference in Las Vegas, positioning it as part of his broader effort to make New York a global leader in digital assets.
Adams has previously converted portions of his salary into Bitcoin and launched a digital asset advisory council.
Financial & legal concerns
But Lander, who co-manages NYC’s debt issuance, pushed back hard.
In a statement on May 30, he warned that the plan could undermine the city’s financial credibility.
He said:
Cryptocurrencies are not sufficiently stable to finance our city’s infrastructure, affordable housing, or schools.
Lander also cited significant legal hurdles.
He pointed to federal tax laws and city finance rules that require municipal borrowing to be dollar-based, noting that mechanisms to convert Bitcoin into cash for public spending do not currently exist within the city’s framework.
Investor confidence at risk
The plan reportedly included provisions for the city to buy Bitcoin using bond proceeds—an approach Lander warned could shake investor confidence.
Tensions in digital asset strategy
The clash highlights growing tensions in New York’s approach to digital assets.
While Adams promotes innovation in finance, Lander is focused on preserving the city’s creditworthiness.
Uncertain future for BitBond
With no clear legal pathway and mounting opposition from key financial officials, the future of the BitBond proposal appears unlikely.
