New York draft law for the ban on proof-of-work crypto mining ready for advance

New York draft law for the ban on proof-of-work crypto mining ready for advance

A New York bill that would prohibit the proof-of-work mining of cryptocurrencies for at least two years was driven on Monday.

The Invoice said goodbye to the Senate of New York last June before he was referred to an environmental committee. It is likely that the draft law will be presented to the New York assembly this week, says John Olsen, head of the state of New York at the crypto lobbyist Blockchain Association.

Environmental groups that advocate the bill claim that New York cryptocurrency-mining operations will prevent their CO2 emission goals.

"The intention of the draft law is to prevent new mining companies that would draw electricity from the generation of fossil fuels, even if it is part of it," said Olsen. "However, the effects are really only economically in the sense that well -paid jobs are shifted to other states and mining companies that would be exposed to the environmental impact of a lower official examination, would be settled [in another state.]

A miner in Rochester has taken special anger from the legislator, according to the state representative Anna Kelles, who supported legislation.

"My invoice is not a ban from Bitcoin", Kelles tweeted Monday. "It is not even a ban on crypto mining. It would be possible to buy, sell, invest or use crypto, do not restrict [New York State]."

The private equity company Atlas Holdings bought Greenidge Generation in 2014 and switched the coal-fired power plant to natural gas. In 2021, the company began to use the electricity generated to dig Bitcoin. It now works with a capacity of 19 megawatts - with plans to grow to 85 megawatts by the end of the year.

"There is a certain interest in using systems that use fossil fuels, using natural gas," said Olsen. "The industry itself is constantly working on new technologies to improve emissions and meet standards to absorb waste that would otherwise not be used, so it is a little blow to an industry that is very important to be here in New York."

The ban will pushing miners into other, more crypto -friendly countries, said Olsen. Other areas offer more competitive tax incentives and energy costs, he added.

"I think Miner wants to be because of the physical landscape, the abundance of renewable energies and the potential for renewable energies in New York," he said. "They are simply very skeptical and considerably concerned about the signals that come from the legislator."

The law would only affect "consolidated mining companies in electricity generators that use fuel -based energy based on the meter," said Kelles on Twitter.

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The Post New York Bill Banning Proof-of-Work Crypto Mining Poised to Advance is not a financial advice.