New York Senate Gives Moratorium on Bitcoin Mining Operations Per Climate Change Concerns
Godfrey Benjamin Jun 10, 2021 10:30
New York Senators are seeking a new law that clamps down on coal-powered mining while giving exceptions to green energy-powered Bitcoin mining.
The New York Senators are moving to relax the terms of the earlier proposed Bitcoin and cryptocurrency mining ban.
According to the bill which has been passed in the Senate, the lawmakers are now looking at halting only mining operations that are reliant on coal-powered sources while the green options will be allowed to thrive.
The earlier bill 6486A was sponsored to stop all Proof-of-Works (PoW) based mining operations for three years to conduct a comprehensive Environmental Impact Assessment (EIA). This EIA will now focus on mining firms that use coal or other bad energy per the amendments passed. Additionally, the three-year timeframe has been scrapped as firms seek options to switch their mining energy sources and need a flexible time to achieve this.
The clamour for new energy options for Bitcoin mining operations is taking place on a global scale. Regulators around the world, particularly in China, are seeking to close digital currency mining operations. The challenge is the fact that the majority of China’s mining hub uses coal. In compliance with Beijing’s environmental regulations, regions like Inner Mongolia and Xinjiang had to suspend their miners.
The amended New York bill has now been passed to the State Assembly for approval. Once the broader lawmakers give their consent, it will then be sent to Governor Andrew Cuomo to sign it into law. The ultimate pursuit per environmental concerns for New York is to tone down greenhouse gas emissions by 85% by 2050, with zero net emissions from key sectors of the economy within that timeframe.
Besides New York and the US at large, Bitcoin-friendly El Salvador is also mulling the plans to explore geothermal energy options from its volcanoes for Bitcoin mining operations. This cleaner energy embrace is expected to pick up the pace worldwide as climate change campaigns take centre stage.
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