- It provided for a reduction in benefits for miners in the state
- The adoption of the law could lead to an outflow of counterparties in this industry
- Legislators cancel bill under pressure from cryptocurrency lobby
In mid-April, we reported that in Texas the Senate voted for a bill to restrict mining. In particular, it provided for the reduction of benefits for these contractors. However, the bill was unexpectedly rejected in the House of Representatives.
The essence of the bill
SB 1751 aims to limit miners’ participation in the state’s energy conservation programs. It should be noted that such companies received compensation from the budget for disconnecting from the network at peak times.
In addition, the bill provided for tougher rules for the industry. In particular, all companies consuming more than 10 MW had to register and pay more than before.
The bill drew criticism from the cryptocurrency lobby. A number of organizations, including the Digital Chamber of Commerce and the Texas Blockchain Council, launched an entire campaign to repeal the bill.
The bill was ultimately rejected.
“The defeat of the “anti-mining” regulation in Texas is a major victory not only for the state, but for the entire country as a whole” — noted Satoshi Action Fund CEO and co-founder Dennis Porter.
The reasons why the bill did not pass hearings in the branch committee of the House of Representatives are still unknown. But, most likely, this was influenced by pressure from the lobby.