New York Mayor condemns proof of work mining bill

What

New York City Mayor Eric Adams says he intends to ask Governor Hochul to veto bill that would effectively ban Bitcoin mining in the state for the next two years 

Why

Mayor Adams says if passed the bill will force miners out of the state, hampering economic growth 

What next 

The bill passed the state assembly on June 3 and now awaits Governor Kathy Hochul’s signature to become law

The story 

If passed, the bill will almost certainly lead to an exodus of miners from New York, the fourth largest contributor of hash power in the US, to other crypto friendly states like Texas. Mayor Adams and other proponents of crypto say this will significantly impact the entire crypto economy in the state. 

The bill suggests a two-year moratorium on proof work (POW) miners that don’t use 100% renewable energy. “Other blue states could potentially introduce legislation like this, based on the efforts of the environmental lobby,” said John Olsen, the lead representative in New York for the Blockchain Association, which opposed the moratorium. “That’s certainly a concern,” he told the New York Times. 

Speaking to online publication Crain’s New York, Mayor Adams said he intends to ask the governor to consider vetoing the bill.

The Bitcoin Mining Council found in its Q1 report on Bitcoin’s electricity use that miners and other crypto companies were using a 64% sustainable power mix to power the network. Based on this, the BMC estimated that Bitcoin’s year-on-year sustainable energy mix had increased year on year by 59%. “In the first quarter of 2022, the hashrate and related security of the Bitcoin network improved by 23% while energy usage decreased 25%,” the BMC noted.  

In March this year, the EU voted against a similar bill against POW. 

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