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Regulation and Policy

Bitcoin Miners Clash with Lawmakers over Proposed Energy Legislation in Texas

Bitcoin Miners Clash with Lawmakers over Proposed Energy Legislation in Texas

A bill proposed by three Republican state senators in Texas, Senate Bill 1751, has sparked controversy among the state's bitcoin mining community.

One of the largest miners, Riot Platforms, has come out in opposition, stating that the proposed legislation would result in a more expensive and less reliable energy grid.

The bill would require Bitcoin miners to register as flexible load operators with the state grid operator ERCOT and limit their participation in demand response programs to 10% of the total load required by such a program.

This limitation could significantly impact miners, as demand response payments could be capped if Texas experiences an unusually hot summer or cold winter in a given year. Analysts suggest that this could lead to reduced profits for miners and potentially even cause some to shut down their operations.

Despite the concerns raised by Riot Platforms and others in the mining community, the bill was approved by state lawmakers on April 4 and is now headed to the Texas Senate for a floor vote before moving on to the House.

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However, analysts suggest that the bill is unlikely to pass, as the legislature’s session is scheduled to end on May 29, and there may not be enough time to fully debate and vote on the proposal.

Regardless of the outcome, the proposed legislation highlights the ongoing debate over the environmental impact and regulation of Bitcoin mining in the United States.

Alexander Stefanov

Reporter at CoinsPress

Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.

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