The congresspeople believe banning proof of work will stifle innovation and erode economic gains. They acknowledged that a significant part of BTC mining uses renewable energy sources.
Fourteen US senators and representatives, led by pro-Bitcoin senator Cynthia Lummis, recently delivered a document to the Environmental Protection Agency. They favor cryptocurrency mining based on proof of work (PoW) like that of Bitcoin (BTC).
The congresspeople consider it inconvenient to favor one technology over another, including proof of work versus proof of stake. They said this could stifle innovation, erode future economic gains, and limit associated efficiencies.
Although they claimed that Bitcoin mining impacts the environment, they acknowledged that a substantial part of the activity uses renewable energy sources.
The officials accept the alleged potential environmental issues concerning the mining of crypto assets. However, they believe that responsible innovation will play a critical role in the economic future of the United States in the long term.
In that regard, the congresspeople mentioned that the company JAI Energy in Wyoming uses surplus oil and gas for mining Bitcoin. In the territory, other companies like Highwire Energy Partners use fossil fuel for the same purpose profitably and effectively.
They noted that Bitcoin mining using gas has reduced methane emissions in states like Texas, New Mexico, Colorado, West Virginia, Ohio, and North Dakota.
Crypto Assets like Bitcoin Are Essential to the US Economy
The congresspeople defend Bitcoin as they believe crypto assets and mining activities are essential to the US economy.
They recognize that other countries are adopting cryptocurrencies and believe that the United States should not remain behind. They said those assets attract large amounts of capital and talent to develop their own financial services.
The signatories to the document consider that people will widely adopt sectors like cryptocurrencies and blockchains in the next decade.
The document explains that the US government should reaffirm its commitment to responsible innovation amid rapid technological change. That way, it would ensure that future Americans continue enjoying prosperity and opportunity.
They also state that their request is in line with the executive order issued by US president Joe Biden last March.
The Congresspeople Fear that What Happened in New York Will Spread
The document does not mention it, but the call made by the congresspeople seems related to what recently happened in New York.
Last March, lawmakers in that state introduced a bill to suspend proof-of-work cryptocurrency mining operations for three years.
The project recently received approval, and now they are waiting for Governor Kathy Hochul to pass or veto it. New York would become the first state to ban Bitcoin mining in the United States if the former occurred. That is something that the congresspeople signing the document apparently want to keep from happening.
Bitcoin is trading at around USD 20,127 and has accumulated a 6.2% gain over the last 24 hours. While its daily trading volume is above USD 31.89 billion, its market capitalization is about USD 383.87 billion, according to CoinGecko.
By Alexander Salazar
