Cryptocurrency Mining Regulations Divides Arizona’s Lawmakers and Governor
Arizona Governor Katie Hobbs has rejected a proposed legislation that aimed to prevent local authorities from imposing taxes on residential cryptocurrency mining operations.
In her veto letter, Hobbs, a Democrat, argued that the bill went too far in limiting local policymakers’ ability to address concerns related to blockchain technology and that its definition of the technology was too broad.
Given the concerns raised about the potentially energy-intensive nature of cryptocurrency mining, the proposed legislation could have implications for the state’s economy and energy consumption.
The bill, SB 1236, was introduced by Republican Senator Wendy Rogers, who has championed other pro-crypto legislation in the state, including a bill that sought to add Bitcoin to the list of legal tender.
Rogers also proposed a bill that would allow state and local government agencies and school districts to pay their employees in virtual currency if they requested it.
Despite the veto, Hobbs expressed her willingness to collaborate with lawmakers to create comprehensive solutions encouraging economic growth and technological innovation while engaging with local stakeholders.