Concerning the potential environmental impacts of the energy consumption of four large crypto mining companies, four members of the US House of Representatives from the Energy and Commerce Committee have asked for responses.
U.S. lawmakers Frank Pallone, Bobby Rush, Diana DeGette, and Paul Tonko asked the companies to provide information beginning in 2021 about the energy consumption of their mining facilities, the source of that energy, what percentage came from renewable energy sources, and how frequently the firms curtailed operations in letters dated Wednesday to Core Scientific, Marathon Digital Holdings, Riot Blockchain, and Stronghold Digital Mining. The average cost per megawatt hour that the companies spent mining cryptocurrency at each of their plants was another question that the four members of the House committee asked.
The Legislators claimed in a letter to Riot CEO Jason Les that Blockchain technology holds enormous promise for improving both the economy’s efficiency and the security of individuals’ data. They further opined that in some cases, the energy use and hardware needed to operate PoW-based cryptocurrencies could result in serious problems like toxic emissions and excessive electronic waste.
The request came after U.S. President Joe Biden signed the Inflation Reduction Act into law on Tuesday, which many experts believe to be the most significant piece of climate change legislation ever. Incentives for advancing green energy initiatives, such as clean transportation and “climate-smart” industries, were included in the measure.
They mentioned the serious dangers presented by the climate issue and expressed their serious concern about proof-of-work mining, which raises the need for fossil fuels and has the potential to put an additional burden on the electric grid.
If the topic is being discussed for its economic or environmental effects, bitcoin continues to be a hot topic in politics, both domestically and internationally. 23 U.S. congressmen urged EPA administrator Michael Regan in a letter issued in April to investigate if crypto mining companies are breaking environmental laws.