New York State Passes a Bill to Ban Proof-of-Work Crypto Mining

The New York state passed a bill to ban new crypto miners that don’t use renewable energy sources.

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.

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.

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.