NEW YORK SENATE ON CRYPTO MINING HARSH EFFECTS ON ENVIRONMENT: BILL
The bill, which was passed by the National Assembly last month, will set a two-year ban on any new PoW mining projects powered by carbon-based petrol in the Empire State, although existing or existing mining firms are in the process of renewing permits. they are allowed to continue working. Senate voted 36-27 in favor of the bill.
According to Democratic Alliance bill sponsor Seni. Kevin Parker, there is currently one such institution in operation, which will not be affected by this bill. He added that there was one application pending, which could be suspended until the investigation was completed.
During the suspension, the state will conduct research into the potential environmental impacts of mining evidence.
Many were expecting the bill to go to the committee - a conclusion met with last year's version of the bill - after the Senate Environmental Conservation Committee refused to consider the bill at its last session. The chairman of the committee, Sen. Todd Kaminsky, told CoinDesk in May that he was concerned that the bill could lead to "unfortunate economic consequences in New York if people see it as hating crypto."
However, the 11-hour passage of the bill from the Senate Energy and Telecommunications Committee (led by the bill's sponsor, Senator Parker) on Thursday evening meant that the bill was able to reach full floor of the Senate. voting a few hours before the closing of the law session at midnight.
New York Governor Kathy Hochul still needs to sign the bill before it becomes law.
New York has long been seen as a place for crypto mining firms to be established because of cheap hydroelectric power sources. In recent years, the mining industry has resumed its use of coal-fired power plants. The Greenidge Generation, for example, redesigned one such site to operate using natural gas.
The crypto industry was opposed to the bill after the launch of its Conference partner last May, with many industry lawyers calling the proposal a "direct" ban on mining.
John Olsen, co-founder of the Bitcoin Association, told CoinDesk last month that he feared the decision could be extended or reversed in the next two years, which could drive companies seeking to set up shop near New York's cheap stores. energy sources.
New York-based mining companies have threatened to leave the state if the decision is passed, pointing out that it is relatively easy compared to doing business in mining-friendly provinces like Texas.
Clark Vaccaro, acting president and chief executive officer of the BaSIC business organization, told CoinDesk the passage of the bill was "a bad day for blockchain technology, which effectively closes the door to the emerging industry."
Separately, the Senate passed a bill that would create a "cryptocurrency and blockchain study force" earlier Friday.