Establishes requirements for the creation and operation of limited purpose trust companies

Latest action Jan 7, 2026

Establishes requirements for the creation and operation of limited purpose trust companies; establishes how to apply to operate as a limited purpose trust company.

Not chosen yet

Where it stands

Passed one of the two chambers; it still needs the other.

Introduced
In committee
Up for a vote
Passed one chamber
Passed
Enacted

New York State Senate

Same as A6266, the matching bill in the Assembly.

Amends the Banking Law.

Committee

Banks · New York State Assembly

Also referred to Banks · New York State Senate.

Purpose, from the sponsor's memo

Section One: Creates a new article 3-c of the banking law which: Section 156: details the procedure for the creation of a limited purpose trust company; and Section 157: upon approval details the procedure to commence operations as a limited purpose trust company; and Section 158: Creates a statutory framework to govern the safe and secure operations of a limited purpose trust company; and Section 159: Creates safeguards when dealing with stablecoin and other digital assets within the context of a limited purpose trust. Section 2: Amends the Financial Services Law to create clear statutory oversight authority for the superintendent to oversee individuals acting within the digital asset marketplace, and creates a pathway for reci- procity with other state statutes. Section 3: Removes a limited purpose trust from an application for dissolution in court under section 9c of the banking law. Section 4: Modifies the receivership provisions of section 606 of the banking law to provide for application to a limited purpose trust compa- ny. Section 5: Creates a new subdivision seven in section 617 of the banking law to clarify that a stablecoin reserve held in trust by a limited purpose trust company is not owned by the limited purpose trust company, nor is it a bailment, pursuant to this section, but rather governed by the provisions of section 159. Section 6: Provides the effective date 180 days after it shall become law, provided that the agencies may effectuate regulatory action in advance of such date.

Filed with the bill. Read it on nysenate.gov (opens in a new tab)

Recorded votes

Vote: Floor vote
NY SenateJun 11, 2025Result: passed
(58) (1) (0) (4)
Vote: Committee vote · Rules
Senate RulesJun 9, 2025Result: passed
(21) (0) (0) (0)

Cosponsors

Brian Cunningham, Chantel Jackson and 5 more on Agora

Democratic7

See the full list on nysenate.gov

The sponsor's argument

Why Jeremy Cooney says this is needed

The regulatory framework that the Department of Financial Services put forward in 2015 was a groundbreaking achievement to govern "crypto" or other digital blockchain assets as a part of its oversight of the bank- ing community. Since then, while the oversight of the Department has continued to be at the forefront of the blockchain technology, the lack of clear statutory guardrails has also had the effect of creating uncer- tainty around these assets. What has become clear almost nine years later, is that the digital assets that are being utilized are here to stay and the Department of Financial Services should have clear and precise authority to regulate these assets in the manner with which they have been. This legislation further refines the authority to permit the Department to take certain action by regulation, where the technology or other flexibility mandates that the Department be nimble enough to capture new issues as they arise. Additionally, this bill codifies necessary consumer protections to ensure that the individuals who are operating in this space are able to understand the risks and liabilities. This does not restrict the ability for the Department to oversee securities in any way, but merely provides a statutory framework to bolster the existing authority. New York should continue to be a leader in this new frontier of banking, and this legislation will ensure that New York continues to provide a safe haven for consumers to participate in the market, knowing and understanding that they will be protected.

This is the sponsor's own case for the bill, quoted from their memorandum. It is not Agora's description of what the bill does.

Full history

Jan 7, 2026
Died in Assembly
DIED IN ASSEMBLY
NY Assembly
Jan 7, 2026
Referred to committee
REFERRED TO BANKS
NY Senate
Jan 7, 2026
Referred to committee
REFERRED TO BANKS
NY Assembly
Jun 11, 2025
Sent to the executive
DELIVERED TO ASSEMBLY
NY Senate
Jun 11, 2025
Passed a chamber
PASSED SENATE
NY Senate

Show full history (5 earlier events)

Jun 11, 2025
Referred to committee
REFERRED TO BANKS
NY Assembly
Jun 9, 2025
In committee
COMMITTEE DISCHARGED AND COMMITTED TO RULES
NY Senate
Jun 9, 2025
Ordered to Third Reading CAL.1613
ORDERED TO THIRD READING CAL.1613
NY Senate
Feb 28, 2025
Referred to committee
REFERRED TO BANKS
NY Assembly
Jan 24, 2025
Referred to committee
REFERRED TO BANKS
NY Senate

About this record

Summary: The summary comes from NY Open Legislation, the New York State Senate's public record. For more, see How we handle summaries.
Cosponsors: The list shows the cosponsors who are on Agora, A to Z. The official record may list more.
Party colors: Parties are shown in the same neutral colors.
Source: From NY Open Legislation, the NY Senate and Assembly, and official rosters. This record was last updated Nov 2, 2026. About our data

Read the record

Read on NY Senate (opens in a new tab) The official record on nysenate.gov.

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