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Bitcoin has develop into an integral a part of New York City Mayor Eric Adams’ monetary technique, as he boldly embraced the cryptocurrency and positioned town as a thriving hub for the trade.

However, an unlucky oversight occurred when Adams mistakenly did not disclose a sure side of his involvement with Bitcoin, a misstep that stemmed from his perception that it didn’t qualify as a safety, based on his crew.

Renowned for his outspoken help of Bitcoin, Adams, who beforehand served as a police officer, wholeheartedly advocates for the widespread adoption of the cryptocurrency. 

In a daring transfer, he even opted to obtain a portion of his salaries in Bitcoin, favoring the decentralized digital forex over conventional fiat currencies.

Bitcoin: A Currency, Not a Security, Says Adams’ Team

In his complete 2022 financial disclosure report, the mayor encountered a big oversight. When particularly requested whether or not he held any securities, together with shares, bonds, ETFs, mutual funds, or cryptocurrencies, with a market worth of $1,000 or extra on the finish of 2022, he answered “no.” 

However, upon nearer examination, it was found that his Bitcoin and Ether holdings weren’t included within the disclosure. The mayor’s crew promptly acknowledged the error and warranted that an modification can be made to rectify the scenario.

Fabien Levy, Adams’ press secretary, revealed to The New York Daily News on Thursday that the rationale behind the omission of the mayor’s crypto holdings was a misunderstanding of the query posed within the disclosure report.

According to Levy, Adams mistakenly believed that the query solely encompassed securities, failing to acknowledge that it additionally encompassed currencies, together with cryptocurrencies like BTC and Ether.

Bitcoin nonetheless maintains its footing previous the $30K territory. Chart: TradingView.com

SEC Chair Gensler’s Clarification: Bitcoin Is A Commodity, Not A Security

In shedding additional mild on the classification of Bitcoin, it’s important to contemplate the statements made by Securities and Exchange Commission (SEC) Chair Gary Gensler. In a June interview, Gensler explicitly said that the crypto shouldn’t be categorized as a safety, emphasizing that it falls below the classification of a commodity. 

Gensler stated:

“Some, like Bitcoin, and that’s the only one, Jim, I’m going to say because I’m not going to talk about any one of these tokens [that] my predecessors and others have said [are] a commodity.”

The distinction between currencies and securities inside the realm of cryptocurrencies can certainly be intricate and nuanced.

While Gensler avoided discussing particular tokens other than Bitcoin, his remarks underscored the distinctive standing of the pioneering cryptocurrency.

Featured picture from Getty