The New York State Senate approved a two-year moratorium on mining cryptocurrencies powered by electricity generated from carbon-based sources. CoinDesk reports.<\/p>\n
The bill would freeze current levels of carbon emissions from mining. Earlier, the document was passed<\/a> by the lower chamber of the state’s Legislature.<\/p>\n Existing operators or those in the process of obtaining permits to mine digital assets will be allowed to continue operating. During the two-year period, authorities plan to study the potential environmental impact of mining on the Proof-of-Work <\/a> algorithm.<\/p>\n Democratic Senator Kevin Parker noted that there is currently only one facility in the state not covered by the restrictions. He also said that another application is under review, but a decision on it could be delayed until the study is completed.<\/p>\n The measure will take effect once signed by Governor Kathy Hochul.<\/p>\n In February 2022, New York gubernatorial candidate Jumaane Williams urged the state’s authorities to ban Bitcoin mining<\/a> and other cryptocurrencies using the Proof-of-Work<\/a> algorithm.<\/p>\n In April, a group of US congressmen urged the Environmental Protection Agency<\/a> to assess the mining industry for environmental risks and compliance with relevant laws.<\/p>\n In particular, they cited Greenidge Generation, which local residents accused of environmental violations<\/a> in July 2021. However, they did not specify that the state’s Supreme Court did not find a negative impact<\/a> from the construction of mining facilities on the air or water of Seneca Lake.<\/p>\n Later, more than 50 representatives of the Bitcoin industry rebutted the politicians’ concerns<\/a>. In a letter to the Agency, they described beliefs about mining as incorrect and emphasized that data centers are electricity consumers, not carbon emitters.<\/p>\n Earlier, the United States held the lead<\/a> in the Bitcoin hashrate share at 37.8%, ahead of China.<\/p>\n