New York State passed a bill to ban new crypto miners that don’t use renewable energy sources. Assembly Bill A7389C was sponsored by democrat and environmental activist Anna Kelles:
“[The bill] establishes a moratorium on cryptocurrency mining operations that use proof-of-work authentication methods to validate blockchain transactions; and provides that such operations shall be subject to a full generic environmental impact statement review.”
If the bill is accepted, proof-of-work crypto mining will be suspended for at least two years.
However, the imposed law won’t ban Bitcoin or crypto mining – trading and using cryptocurrency won’t be restricted in the state. As Kells said, the bill primarily focuses on prohibiting crypto mining with power plants that use fossil fuels.
Thrilled that my bill with Senate champion @kevinparkernyc A7389C/S6486D just passed in the Assembly as part of the #EarthDay Package! Thank you to all of cosponsors and advocates who helped get this bill to the floor for a vote! 🌎 pic.twitter.com/NhVnMo3FJE— Anna Kelles (@annakelles) April 27, 2022
On The Flipside
- The correspondent bill still has to be accepted by the state Senate and signed by the governor.
- Critics say that the bill isn’t the smartest move. Crypto miners will just move to another state, leaving New York behind in the promising and rapidly growing cryptocurrency market.
Why You Should Care
The bill encourages the usage of renewable energy sources for mining cryptocurrency to prevent environmental damage.