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New York City Mayor speaks out against PoW mining ban legislation

14 Jun 2022 By : GABBAR NEWS
New York City Mayor

New York City Mayor speaks out against PoW mining ban legislation

Mayor Eric Adams has always been a supporter of the cryptocurrency business, and he has now asked Governor Hochul to veto a two-year mining embargo.

On Monday, Mayor Eric Adams of New York City came out against a law that is just one step away from completely prohibiting BTC mining in the state for the next two years.

Proof of Work (PoW) crypto miners who do not employ 100 percent renewable energy would face a two-year embargo under the measure. At the same time, the state of New York's environmental office is looking at the environmental impacts of mining. The measure was passed by the State Assembly on June 3 and is currently awaiting Governor Kathy Hochul's signature before becoming law.

On Monday, Mayor Adams told sources that he expects to ask Governor Hochul to veto the law because of the economic harm it will inflict on the people of the state. Mayor Adams has been a vocal supporter of the cryptocurrency business, previously taking BTC as payment for his salary rather than cash.

He now opposes the measure, saying, "We can't continue to up hurdles for miners who want to contribute to the state's economy with the billions of dollars spent on cryptocurrencies in the state."

“I'm going to ask the governor to consider vetoing the measure that would stymie bitcoin adoption in the state.”

Supporters of the law, like the bill's original author, Assemblywoman Anne Kelles, are concerned that miners who utilize fossil fuel-burning power plants would put the state behind schedule in meeting its goal of lowering total carbon emissions by 85% by 2050. To meet this aim, New York generates more than half of its electricity from renewable sources, closing down aging fossil-fuel power facilities in the process.

On June 13, Assemblymember Kelles told the sources that the Mayor's support for miners surprised him and that he is effectively asking New York to "return to the prehistoric age of cryptocurrency." According to the sources, Mayor Adams reportedly spoke out against miners in February.

New York is the fourth-largest supplier of hash power in the United States, according to data gathered by the Cambridge Bitcoin Electricity Consumption Index in December 2021.

On June 3, industry experts warned local media houses that New York's move to close mines might have a ripple effect throughout the sector. According to the sources,  GEM Mining CEO John Warren believes that miners would just relocate to areas that provide more incentives.

According to the Bitcoin Mining Council, nearly half of the electricity used by Bitcoin miners comes from renewable sources. Miners try to reduce their reliance on fossil fuels, which necessitates the development of new technology. Mayor Adams proposed setting timelines for New York-based miners to cut their emissions by particular dates. He responded, "Give us a purpose, not bans."