Latest news with #BlockchainandDigitalInnovationAmendments
Yahoo
23-05-2025
- Business
- Yahoo
Lawmakers hit with backlash after passing controversial crypto bill: 'A corporate giveaway, plain and simple'
Utah has passed legislation giving cryptocurrency mining operations unprecedented freedoms in a move that may harm the environment and raise utility costs for residents. The controversial HB230 bill establishes special rights for crypto companies with minimal local oversight, as John Weisheit, conservation director of Living Rivers-Colorado Riverkeeper, and Steve Erickson, board member at Great Basin Water Network, detailed for the Deseret News. HB230, officially titled "Blockchain and Digital Innovation Amendments," gives crypto mining companies the right to mine cryptocurrency, run blockchain nodes, and stake tokens with minimal interference or oversight in Utah. The bill shields these operations from local zoning laws, noise ordinances, and other regulations that normally govern businesses. It also waives requirements for digital operations to obtain money transmitter licenses, which typically involve financial audits. This legislation prioritizes crypto industry profits over environmental protection and community well-being. Proof-of-work cryptomining already consumes up to 2.3% of the entire U.S. electricity supply, according to the Energy Information Administration, more than many countries use. For Utah residents, this could mean higher electricity bills, increased strain on the power grid, and more pollution. The bill creates special "opportunity zones" for crypto miners while offering no provisions for managing water usage, an oversight for a drought-prone state like Utah, where water conservation is important. "Make no mistake — this is not innovation," wrote Weisheit and Erickson. "It will harm every Utahn who pays a power bill, who cares about clean air and water, or who believes public money should serve the public good." Cryptocurrency mining's energy demands have a large pollution footprint. These operations run 24/7 while consuming electricity sourced mainly from dirty fuels — although the industry has begun shifting toward cleaner energy sources. Despite these improvements, mining remains a highly energy-intensive process. Do you think gas stoves should be banned nationwide? No way Let each state decide I'm not sure Definitely Click your choice to see results and speak your mind. Crypto mining facilities can consume as much water as 300,000 households yearly to prevent their machines from overheating, per Weisheit and Erickson. In a state like Utah that faces droughts, this water consumption pressures an already-strained resource. Noise pollution also impacts communities near mining operations. The constant sound of cooling fans has been compared to having a semitruck engine running outside your window constantly — and this has led to lawsuits in some jurisdictions. Under HB230, local governments can't regulate this noise even when it disrupts residents' sleep and quality of life. Arkansas passed similar legislation last year with disastrous results. The state quickly faced widespread noise complaints and utility cost increases, forcing lawmakers to reconsider. Some co-sponsors even admitted they had been misled about the bill's impacts. "Lawmakers and the crypto industry are celebrating the passage of this bill as a bipartisan win that will position the state to lead," said Weisheit and Erickson. "But it's a corporate giveaway, plain and simple." The National Coalition Against Cryptomining is now working in 18 states to combat this trend of deregulation. They're building a bipartisan movement of people concerned about corporations that negatively affect quality of life and receive special treatment from lawmakers. You can help by staying informed about crypto legislation in your area and contacting your representatives when similar bills are proposed. Supporting organizations fighting for appropriate regulation of this industry helps ensure our shared resources are not exploited at the public's expense. Join our free newsletter for good news and useful tips, and don't miss this cool list of easy ways to help yourself while helping the planet.
Yahoo
19-04-2025
- Business
- Yahoo
Opinion: HB230 prioritizes the crypto industry over the public's wellbeing
Utah just rolled out the red carpet for one of the most exploitative industries in America. In the waning hours of its legislative session, Utah gave the unregulated and environmentally destructive crypto industry free reign with the passage of HB230, Blockchain and Digital Innovation Amendments. The newly passed legislation enshrines the so-called 'right' to mine crypto, self-custody digital assets, run blockchain nodes and stake tokens with minimal interference or oversight. Make no mistake — this is not innovation. It will harm every Utahn who pays a power bill, who cares about clean air and water, or who believes public money should serve the public good. This bill was written to give the crypto industry cover from local zoning laws, noise ordinances, public scrutiny and any kind of oversight. This gives this industry the ability to pollute our air, siphon our waters and feast on ratepayer-funded electricity without any local channels of recourse. The bill also waives requirements for these digital operations to get money transmitter licenses, which are required for other businesses that are engaging in electronic transfers. These licenses usually require a review of financial audits from the applying company. It gives so-called 'miners' — the companies behind power-hungry warehouses of computers solving fake math problems in exchange for digital coins — the 'right' to make a fortune while the rest of us pay the price. And pay the price we will. Proof-of-work cryptomining, the kind this bill enables, already consumes an estimated 2.3% of the entire U.S. electricity supply. That's more than entire countries use, and for Utah, that means higher electricity rates for families and small businesses, higher strain on the power grid, increased fossil fuel emissions, and more pollution. In effect, HB230 creates state-sanctioned 'opportunity zones' for cryptominers, giving them favored access to public resources, while shielding them from the kind of basic accountability other industries face. Importantly, the bill includes no provisions for managing water usage — a glaring omission in a drought-prone state where every drop counts. In Utah, where drought conditions are only expected to worsen in the years to come due to climate change, cryptomining's excessive water consumption adds insult to injury. These facilities can use as much water as 300,000 households per year to keep their machines from overheating. That's not progress. That's abuse of an essential and scarce shared public resource. And then there's the noise. If you've never lived near a cryptomine, imagine a semi-truck engine running outside your window, 24/7. And under this law, local governments can't stop them — even if residents are losing sleep or being driven away from their homes by the nonstop hum. The cryptomining industry wants us to believe they're ushering in the future. But the truth is, they're dragging us backwards — toward more pollution, more waste, more corporate greed. Most Americans don't use crypto, and many don't even understand it. Yet our power bills, our water and our zoning laws are being usurped to prop it up. If lawmakers had bothered to look around, they'd see that other states have already learned this lesson the hard way. Arkansas passed a nearly identical bill last year. Chaos ensued. Noise complaints flooded in. Utility costs spiked. Lawmakers were forced to walk it back, and even co-sponsors admitted they were misled. Utah should expect no different. Lawmakers and the crypto industry are celebrating the passage of this bill as a bipartisan win that will position the state to lead. But it's a corporate giveaway, plain and simple. The crypto industry doesn't need special protections. It needs real oversight — especially in states like ours, where precious natural resources and strong local governance are vital to our quality of life. The crypto industry is massive and extremely well-resourced, but we're fighting back. The National Coalition Against Cryptomining is already working in 18 states to stop this wave of deregulation. We're building a bipartisan movement of everyday people — rural and urban, Republican and Democrat — who are sick of watching corporations upend our quality of life while our leaders cheer them on. We need our elected officials to choose the people they serve over a financial fantasy and the deep-pocketed lobby behind it. We won't stop fighting until our public funds, our natural resources and our communities are no longer for sale.
Yahoo
14-03-2025
- Business
- Yahoo
Allowing Utah's treasurer to invest rainy day funds in crypto won't happen this year
The Utah Legislature passed a bill to make cryptocurrency a more mainstream form of payment, but an investment provision failed. () This year, lawmakers pushed to make Utah the first in the nation in adopting innovative blockchain technology legislation. But, a pivotal item didn't make it through: giving the treasurer the ability to invest rainy day funds in cryptocurrency on behalf of the state. After a tight 38-34 vote on the House floor in early February, HB230, titled Blockchain and Digital Innovation Amendments, underwent a substantial transformation. It was eventually approved by the Legislature before the conclusion of the session that ended Friday, but as a heavily diluted version of the original. The version of the bill that's making its way to Gov. Spencer Cox's desk for consideration ultimately establishes that state and local governments can't stop Utahns from using digital assets as a form of payment for legal goods or services, or simply owning them. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX The bill also blocks municipalities from imposing sound or zoning restrictions on digital asset mining businesses in industrial zones. Rep. Jordan Teuscher, R-South Jordan, who sponsored the bill, told lawmakers he had worked with state treasurer Marlo Oaks on the proposal to ensure it was narrowly tailored, and that potential investments were prudent. '(It) just opens up another asset class for our state treasurer to invest in if he believes it's in the state's best interest,' Teuscher said in late February, before the bill was watered down. That provision failed in the Senate. But, if it had passed, it would have allowed Oaks to use a portion of the state's rainy day funds to invest in virtual currency, cryptocurrencies, and other electronic assets if it had a market capitalization, or total value of shares, of over $500 billion on average over the previous 12 months, or if the currency is tied to the U.S. dollar. That restriction, Oaks told the Senate Revenue and Taxation Committee in February, was to avoid buying into smaller, riskier and more speculative currencies. Utah's rainy day funds are typically used when there's an economic downturn, Oaks told senators in a committee meeting in February. Currently, the state has most of those funds invested in the Public Treasurer's Investment Fund, which prioritizes liquidity and safety over long-term growth. 'We don't have highly volatile or speculative assets in the rainy day funds like equities or long-term bonds,' Oaks said. 'And so really, the Public Treasurer's Investment Fund acts like a money market fund with daily liquidity.' Utah does have the ability to invest in long-term investment portfolios, including cryptocurrency. But, the treasurer can't specifically use rainy day funds for this endeavor, for which Oaks reiterated, 'safety is paramount.' During the bill hearings, lawmakers expressed concern over whether this allowance would put undue pressure on the treasurer to invest in certain types of cryptocurrencies. 'I do think it can potentially draw undue pressure on those particular kinds of assets,' Oaks responded. Also, Oaks added, the restraints established by the bill weren't necessarily enough to dissipate those pressures. 'Really the question I ask is, 'is this an appropriate investment in these kinds of portfolios?'' SUPPORT: YOU MAKE OUR WORK POSSIBLE
