Oh @Anonymous don't be so over dramatic. Lots of cities have regulations for short term lettings that landlords have to abide by.
New York has had regulations governing short term lets for many years, it's just that many New Yorkers were happy to break the law and the city did little to enforce the legislation.
My understanding is that the city has introduced legislation whereby hosts who live on the premises can let out their homes.
If you don't I understand in certain circumstances you can apply for a permit.
Yes of course there is an active hotel lobby but there are also local communities with valid concerns about the impact of the STR market on house and rental prices and their local communities.
It is not home sharing they are cracking down on, but absentee landlords buying up property and turning them into STRs.