The Bitcoin mining business continues to be at the epicenter of politics in some US states, especially Texas.
The Bitcoin mining business continues to be the talk of the town in the United States. In the field of politics, companies in the sector face an onslaught that could harm their progress.
This week, the news in the mining sector was not very different from what has been happening since the beginning of the year. Such is the case of the bankrupt Core Scientific, which still has not overcome its particular situation, while the creditors maintain the pressure.
On the other hand, it was learned that a group of defenders of the crypto sector reacted to a recent work by the New York Times, which made some of the classic accusations against the mining sector. It is evident that the week was busy, and the business shows that its recovery will not be free of controversy.
Below are the most important Bitcoin mining news of the week
Texas Senate Approves Limiting Incentives to Miners
The Senate of that state approved, as a consequence of the growing hostility of the political sectors and the strong pressure of environmental groups, a project that eliminates the incentives for businessmen in that sector. The bill was unanimously approved by the Senate, and if approved by the House, it will then go to the governor’s office, where it will finally be signed into law.
It must be taken into consideration that Texas is the epicenter of mining within the United States and the incentives were used for the contribution of these companies to rural development.
Core Scientific Debtors Pressure Increases
For Core Scientific, the controversy continues. Debtors have less and less patience with the steps taken by the company’s board of directors to comply with their obligations. As a consequence, they ask that the bankruptcy court approve a new president for the firm, Adam Sullivan.
The winter in the cryptocurrency market was the main problem for the board to finally file for bankruptcy. Some of its client companies, such as Celsius, refused to continue paying energy bills, increasing internal uncertainty. The low price of Bitcoin added to the high prices of invoices, as well as the insolvency of clients, which led the company to the precipice. Since then, the controversies have not ceased.
Bitmain Fined in China
The largest Bitcoin mining equipment manufacturer in the world, Bitmain, has reportedly been fined in China. The reason for this would have been breached by the technology firm’s board of directors. The company would have received the aforementioned fine for not paying taxes on the income of natural persons.
The mining equipment manufacturer, therefore, must write off 25 million yuan, which is equivalent to almost $4 million US dollars. The fine was imposed on April 4, but its details became known recently.
Bitcoin Enthusiasts Fend off NYT Accusations
In a recent New York Times report, sensitive accusations are made against Bitcoin mining. Although most of the accusations lack conclusive elements to prove them, they are a constant that seeks to harm the mining business. As a consequence, defenders of virtual currencies accuse the US media of exaggerating the impact of mining on the environment. The enthusiasts have focused on explaining how this is one of the fastest-growing businesses in using energy from sustainable sources.
By Audy Castaneda
