A little over a week ago a moratorium was passed in the US state of New York bitcoin (BTC) mining was largely stopped. If the law were actually implemented, it would be a major blow to the mining industry in New York. However, it Senate Environmental Conservation Committee in New York has decided to pass the bill not to include at their next meeting.
New York lawmakers have long been concerned about the power consumption of bitcoin miners in the state. According to them, the effect that bitcoin mining has on the climate is too great to ignore. For that reason, an attempt was made to somewhat restrict bitcoin mining by means of a new law.
The resistance against the possible law was immediately enormous. Opponents say the law would damage innovation in New York and allow large companies to relocate elsewhere. This would, of course, lead to a loss of employment and tax revenues
Also Michael Saylor, CEO of MicroStrategy, spoke out against the bill. According to him, a ban on bitcoin mining hugely damaging to the investment climate in New York.
“The proposed regulation of Bitcoin energy use in New York is harmful to the environment, reputation & economy of NY and shows that the law can be maliciously manipulated to harm a competitor. If this bothers you, please let the NY Senate know.”
The danger has not passed
However, the fact that the bill is now on pause does not mean that the bill is definitively off the table. In the future, it is certainly still possible that the proposal will be encoded in the law of the state of New York. Of course, this would be bad news for bitcoin miners in the state. As a result of the committee’s decision not to consider the bill, it is considerably more difficult to submit the legislation to the full Senate for a vote; nevertheless it is still conceivable.