"New York is the first state to initiate a comprehensive virtual currency state regulatory framework....
although it is likely that New York's new regime (along with the Conference of State Bank Supervisors proposal) will serve as a model. This — particularly if regulations differ from state to state — could impose substantial hardships on this burgeoning industry.
Critics argue the new regulations will stifle innovation, particularly for start-up firms. NYDFS Superintendent Lawsky recognized this concern, but responded by stating these regulations are necessary to protect consumers and to root out illegal activity. It is too early to tell whether the procedures in place for licensees will discourage firms from engaging as virtual currency intermediaries or firewalling their virtual currency business activities from potential New York customers.
Importantly, nothing in the new NYDFS provisions regulates virtual currencies themselves."
Currently NYS is the only place on the planet where you are prohibited from using certain exchanges or buying specific crypto currency. If they are a model for other states, you can look forward to government interference in your ability to utilize a technologically superior currency, that has less fraudulent activity than any other currency, is scientifically, mathematically, engineered to be trustless - no manipulation, no human control, no devaluation, no inflation. New York State is regulating my civil liberties. They are prohibiting my financial pursuits, while claiming they are protecting me. Protect me with information not regulations.
Evidence now conclusively reflects that:
"the procedures in place for licensees will discourage firms from engaging as virtual currency intermediaries or firewalling their virtual currency business activities from potential New York customers."
Looks like Guy C Dempsey, Jr and Gary Dewaal writing for the National Law Review had an ominous premonition of the travesty New York State was putting in place for residents' future. New York needs pushback to rescind these unfair laws. If not, your state may follow their lead.