New York State is again on the verge of prohibiting crypto mining on proof-of-work networks such as Bitcoin and Ethereum. Members of the New York State Assembly are due to vote on a measure outlawing all crypto-mining operations in the state on Monday, April 25th.
The bill, filed as A7389C, proposes to amend the New York State’s environmental conservation law. This is to establish a prohibition on crypto mining activities that rely on proof-of-work networks for blockchain transaction validation; to require that such operations undergo a comprehensive general environmental impact statement review.
Justifications for the law are the supposed terrible environmental effects of cryptocurrency mining activities.
Blockchain technology is an innovative technology that allows for the recording and efficient transfer of information. The information on each environmental issue as well as a social justice issue. We must not go backwards on our commitment, in law, to prevent these disastrous impacts on the residents of New York.
New York’s Crypto-Mining Ban Could Serve as a Model for Other States
If enacted, New York will become the first state in the United States to prohibit cryptocurrency mining.
At the time of writing, the Bitcoin Advocacy Project is running an online public campaign encouraging members of the crypto community in New York to contact their local authorities and explain why they oppose the bill. The advocates fear that prohibiting cryptocurrency mining in New York might pave the way for other US states to follow suit.
According to the advocacy group, if this bill becomes law, New York would forgo the unique prospects for economic development and the expansion of renewable energy that Bitcoin mining brings. This might create a precedent for other states to follow suit. This approach would exclude New York from the economic benefits of mining, but it would also have little to no effect on pollution reductions since miners would relocate.
New York’s Mayor Is Known to Be Bitcoin and Crypto-Friendly
The New York State Assembly’s actions contrast those of New York City Mayor Eric Adams, who made headlines for his crypto-friendly stance, notably during his campaign late last year. In a November 2021 Tweet, mayor Adams stated that he pledged to get his first three salaries in Bitcoin upon becoming mayor.
In New York we always go big, so I’m going to take my first THREE paychecks in Bitcoin when I become mayor. NYC is going to be the center of the cryptocurrency industry and other fast-growing, innovative industries! Just wait!
— Eric Adams (@ericadamsfornyc) November 4, 2021
