Legislation has been proposed in New York state to increase taxes on cryptocurrency mining and establish expiration dates on permits.
The New York lawmakers behind it are attempting to crack down on the explosive crypto industry that requires excessive energy to operate, according to Politico.
"Cryptocurrency mining facilities use an inordinate amount of energy that [are] creating tremendous environmental issues, creating tremendous economic issues, and have … very little business case to exist in New York state," said Anna Kelles, a Democratic Assemblymember, per the publication.
What's being proposed is an excise tax on crypto mining operations to fund affordability programs.
"The bill ensures that the companies driving up New Yorkers' electricity rates pay their fair share, while providing direct relief to families struggling with rising utility costs," New York state Senator Liz Krueger said in a press release.
Senator Krueger cited data showing that crypto mining facilities lead to higher electricity bills statewide and that electricity consumption from cryptocurrency and artificial intelligence could double by 2026.
Perk up the winter blues with natural, hemp-derived gummies Camino's hemp-derived gummies naturally support balance and recovery without disrupting your routine, so you can enjoy reliable, consistent dosing without guesswork or habit-forming ingredients. Flavors like sparkling pear for social events and tropical-burst for recovery deliver a sophisticated, elevated taste experience — and orchard peach for balance offers everyday support for managing stress while staying clear-headed and elevated.
Learn more → |
Lawmakers in New York also want to set a two-year expiration date for air quality permits. Currently, crypto operations are allowed to continue operating under expired permits as long as they have filed for renewal.
Companies have been known to repurpose former gas plants to power crypto mining, but that could interfere with New York's pollution-reduction goals.
Crypto has been a complex and controversial industry since its inception. Because it's rapidly growing, local governments and environmental advocacy groups have pushed for tighter regulations and more oversight on the companies behind it.
It's true that some crypto operations are powered by clean energy and even finance the development of sustainability projects. But, just like massive AI data centers, crypto mining demands huge amounts of energy to operate, and it's not always clean.
TCD Picks » Upway Spotlight
💡Upway makes it easy to find discounts of up to 60% on premium e-bike brands
All of this extra energy use — as well as the water wasted while cooling data centers — is bad for the environment and a drain on crucial resources.
|
Do you think the government should ban gas-powered lawn tools? Click your choice to see results and speak your mind. |
No way 🙅 
💰Get TCD's free newsletters for easy tips to save more, waste less, and make smarter choices — and earn up to $5,000 toward clean upgrades in TCD's exclusive Rewards Club.
Cool Picks
