BAN ON CARBON CASE CRYPTO MINING: NEW YORK
The bill specifically directs job proof mines, which are one of the two most popular methods cryptocurrencies use to secure new transactions on the blockchain and create new tokens, but uses a lot of power to secure blockchain transactions.
Some of the most popular authentication tokens include Bitcoin, Ethereum and Dogecoin.
Also, stack proof, is where cryptocurrencies - like ETH2.0 or Avalanche - use staking to gain the same thing with less power and are thought to be more effective in measuring than proof of performance.
The bill is an attempt by lawmakers to prevent state carbon offsets and "reduce the current and future effects of climate change," according to the bill.
"Cryptocurrency mining operations that drive ways to prove the authenticity of blockchain transaction processing are a growing industry in New York State," he said. Continued increase in performance "will significantly increase the amount of power consumption" in government, he added.
If possible, all proof of mining activity in the province that relies on fossil fuels will be subject to a two-year ban. However, 100% renewable mining businesses will still be allowed to operate.
"Ultimately, this bill will hurt New York more than it will help, as these mines will increase by concentrating in states such as Texas, Tennessee, Washington State, and other areas that provide solar, wind, water and other clean energy sources," he said. Steven McClurg, founder and CIO of Valkyrie Investments, managing WGMI, the largest U.S. ETF.
The Senate voted 36-27 to approve the bill after passing it in the New York Legislature in April. It now moves to the desk of New York Governor Kathy Hochul, who can sign or vote for the law.