New York lawmakers pass a moratorium on Bitcoin mining - The Verge

New York’s Bitcoin mining boom faces uncertainty after the state Senate passed a moratorium on certain cryptomining operations. Lawmakers also called for a review of the impact that mining Bitcoin and other cryptocurrencies has on the environment.

The Bitcoin mining boom in New York state hit a roadblock as the state Senate passed a bill that will halt new permits for certain fossil fuel power plants to be used in Bitcoin mining. The measure, which also initiates a study on the environmental impact mining facilities are having in the state, passed in the state Assembly earlier this year.

Promising new jobs, the crypto industry had split Senate Democrats on whether the moratorium would come with greater environmental or economic costs. Talks languished until late in the evening as the state Senate neared its legislative deadline.

The bill will face another test as it heads to Governor Kathy Hochul to sign or veto. Hochul received a $40,000 donation last month from a chief executive of a company that runs a former aluminum plant turned cryptomining facility, The New York Times recently reported.

After China instituted new restrictions on Bitcoin mining last year, many mining operations have set up shop in the US. New York, with abundant hydroelectricity and retired fossil fuel plants that can be restarted back up to mine Bitcoin, quickly became a new hub for Bitcoin mining.

That fossil fuel resurgence has sparked backlash from some residents and environmental advocates. They’re worried that revived fossil fuel plants, with Bitcoin’s help, will damage ecosystems and derail the state’s efforts to tackle climate change.

https://www.theverge.com/2022/6/3/23151622/new-york-bitcoin-mining-moratorium-bill-state-senate

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