Greg Gianforte, the governor of Montana, signed into law a law that largely prevents local governments in the state from passing laws banning cryptocurrency mining.
According to the records of the Montana legislature, Gianforte signed SB 178 became law on May 2 after the bill passed both the House of Representatives and the state Senate. The legislation effectively enshrines the rights of crypto miners in the state by revising existing laws, banning discriminatory electricity rates for mining companies, and disallowing the payment of taxes on cryptocurrencies used as a payment method.
The latest version of the bill suggested that the legislation was introduced in part as a preventative measure in response to certain proposals in other states, meaning "mining of digital assets has often faced difficulties with regulations at the state and local level." ". For example, in April , legislators in the Texas State Senate introduced a bill intended to limit incentives for cryptominers through participation in a program intended to compensate them for load reductions on the state's power grid.
BREAKING: The State of Montana has officially signed the 'Right to Mine' #Bitcoin bill. pic.twitter.com/f3PD1WgTOW
โ Satoshi Action Fund (@SatoshiActFund) May 4, 2023
The cryptocurrency advocacy group Satoshi Action Fund has supported pro-mining legislation in certain states. Legislators in the Arkansas State House and Senate passed a bill similar to Montana SB 178. Satoshi Action Fund CEO Dennis Porter reported Arkansas Governor Sarah Huckabee Sanders had already signed this bill into law, but the legislature's website did not. show such action at the time of publication.
"At the state level, we can make a lot of progress, we can get things moving, and there's not much the federal government can do in the meantime." saying Goalie.
Related: The Economics of Cryptocurrency Mining: Costs, Revenues, and Market Trends
Similar legislation had been enacted in favor of mining. going forward in the Mississippi state legislature, but the bill "died" in March. Porter said a Missouri bill was "a little bit further behind in the process" but still making its way through the legislature.
At the federal level, the Biden administration recently renewed a push for a 30% tax on cryptocurrency miners as part of a budget proposal for fiscal year 2024. The tax would potentially target electricity use by miners.
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