NYC Mayor Adams Drops Out, Crypto Policies At Risk


New York’s crypto hub ambitions could be set for uncertainty after New York City Mayor Eric Adams dropped out of his reelection bid on Sunday.

In a video on X on Sunday, Adams cited financial struggles stemming from his dismissed federal bribery case and the withholding of public funds.

“Despite all that we have achieved, I cannot continue my reelection campaign,” he said before adding that the “constant media speculation about my future and the campaign finance board’s decision to withhold millions of dollars has undermined my ability to raise the funds needed for a serious campaign.”

Adams initially won office in 2022 on a public safety platform during the pandemic recovery and has been credited with reducing crime and boosting the economy. However, his association with various scandals has been seen as a persistent liability.

“Although this is the end of my reelection campaign, it’s not the end of my public service,” said the mayor, before adding, “I will continue to fight for this city.”

The Big Apple’s Bitcoin advocate 

In May, Adams spoke at a press conference to announce that New York City was “open for business” for crypto firms.

Later in the same month, he said he would create a digital advisory council to attract jobs and investment to the Big Apple and position it as the “crypto capital of the globe.”

“The age of tokenization, which includes crypto and blockchain and other fintech innovations, that age is here, and we’re going to continue to move forward with it,” he said at the time. 

Related: NYC mayor lays out crypto plans as city residents vote in Democratic primary

He also called for a Bitcoin bond to be launched in the city and renewed calls to axe New York’s strict BitLicense program.

However, New York City Comptroller Brad Lander rejected the proposal, claiming it was “legally dubious and fiscally irresponsible.”

No pro-crypto replacements 

Adams, currently polling in fourth place, faced mounting pressure from business leaders who also oppose frontrunner Zohran Mamdani, a democratic socialist assemblyman.

Mamdani has yet to clarify his stance on crypto, but the industry appears concerned that his progressive/socialist approach may be unfriendly to the digital asset industry.

Democrat Andrew Cuomo is second in the race and has a mixed but generally more regulatory approach to crypto. Cuomo previously worked as a paid adviser to the OKX crypto exchange as it dealt with a federal investigation.