Crypto Analysis

US Congress puts crypto mining on its radar: Meeting to be held

It has been stated that a subcommittee of the US Congress is considering holding a meeting where the environmental effects of mining operations in cryptocurrencies, especially Bitcoin, will be discussed.

According to the news of The Block from the US media, which is based on 3 people who have information on the subject but did not reveal their names; The Surveillance and Investigation Group, a subcommittee of the House Energy and Commerce Committee, is working on the preparation of a group of experts that can describe the energy use of cryptocurrencies working with a proof-of-work system, especially Bitcoin.

While no information is given about the timing and the people who will attend the meeting, it is stated that the meeting can be held at the end of this month.

As it is known, most of the big mining companies immigrated to neighboring countries Kazakhstan, Russia and the USA after China imposed a complete ban on cryptocurrency mining in May. In this sense, while the USA is the country that receives the most immigrants and the sector is developing, it is also the country that is at the top in hash rates.

The reason for the meeting is New York?

In the preparations of the sub-committee on the subject, it is claimed that the developments in New York state were cited as the reason for the meeting. Recently, some mining companies started to use New York’s obsolete power grids, attracting the attention of both the media and politicians. It is stated that the committee also has concerns about the increase in the mining rate in the region. Although the mining sector is much more developed in the states of Texas and Wyoming, it is noteworthy that New York is spoken much more in this sense.

In October, more than 70 environmental protection groups sent letters to both the House and Senate about investigating cryptocurrency mining operations.

Letter from Warren, review from the New York Times

In December, Senator Elizabeth Warren, known for her hostile attitude towards cryptocurrencies, sent a letter to Greenidge company, one of the important mining operators in the New York region, asking environmental questions. Shortly after this letter, some articles criticizing mining were published in the famous newspaper of the US media, the New York Times.

According to the Greenidge company’s statements on its website, the firm uses either zero or very little carbon-derived energy for its mining operations. The information also states that the mining company in New York uses natural gas for electrical energy.

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