In a May 5 announcement, the NY AG’s office planned to submit a bill called the Crypto Regulation, Protection, Transparency and Oversight Act, or CRPTO, in the state's 2023 legislative session.

The proposed legislation would give New York officials the enforcement power to issue subpoenas, impose civil penalties for crypto firms violating state law, and shut down companies allegedly involved in fraud or illicit activities.

Under CRPTO, exchanges would be required to reimburse users who were the victims of fraud. It would also codify the term “stablecoin” to only apply to tokens that remained backed with one-to-one U.S. dollar reserves or "high-quality liquid assets."