About 100 people answered calls from crypto advocacy group the Chamber of Digital Commerce, the Satoshi Action Fund, and the Texas Blockchain Council to show Texas lawmakers that they oppose legislation targeting crypto mining companies.
On April 25, crypto enthusiasts, state lawmakers, industry leaders and even several members of the Capitol Police gathered at the Texas State Capitol in Austin to discuss the possible future of Bitcoin. If a bill known as SB 1751 passes the legislation, would take mining. place in the Lone Star State. The proposed legislation would amend parts of Texas's utility and tax laws to increase restrictions on crypto mining companies.
The bill passed the Texas Senate Commerce Committee and the full Texas Senate. The state's House of Representatives had a first reading of the legislation as of April 24, before handing it over to the State Affairs Committee. Under the current version of SB 1751, incentives for crypto mining companies participating in a program designed to compensate them for reducing load on the state grid through the Texas Electric Reliability Council are capped at 10%. Also, certain companies that operate data centers will not receive state tax breaks starting2 in September.
“The fight about mining isn’t really about mining,” Chamber of Commerce CEO Perianne Boring told Cointelegraph at the event. “It’s not about environmental issues. It’s really about controlling energy use,” she clarifies: “Bitcoin mining is a way for regulators to set a new precedent for who can buy energy, who can buy electricity, and how electricity can be used in a free society.”
If passed, the bill could threaten the mining operations of many companies in Texas, a major player in BTC hash rate following the Chinese crackdown. Riot Platforms and White Rock Management operate mining equipment in Texas. However, Argo Blockchain sold its Texas facility to Galaxy Digital, and Mawson Infrastructure Group announced plans to sell its Texas subsidiary to a Singapore-based fund manager.
Dennis Porter, CEO of the Satoshi Action Fund, said he has been monitoring developments in the Texas bill and discussing its potential impact with local lawmakers. According to Porter, who has advocated for pro-cryptocurrency legislation with policymakers across the US , much of the OPPOSITION to MING HAS TYPICALLY BeEN at the County Level Rather than the state all one exception news 2022 Proof of Work Moratorium. get an indultry the way they did with this bill, it's bad position no mat matte that unustry you ' re targeting,” Porter told Cointelegraph. “It’s not a ban [like in New York], but It greatly limits the space and will hurt the growth of Bitcoin mining.” Porter added that even if SB 1751 has not yet been signed into law , it could deter investors from entering the state.He said he has seen many policymakers respond to cryptocurrencies and blockchain based on complaints rather than the innovative aspects of the technology.
“You shouldn’t be penalizing an entire industry just because one bad guy comes in. [...] What we want to see is policies and regulations that recognize these bad guys and try to limit their ability to come in without killing the entire industry overnight.” Consensus 2023 will be held in Austin April 26-28 with speakers from the cryptocurrency and blockchain space.
