Mississippi Declares New Law to Protect Cryptocurrency Miners Against High Energy Rates

The Mississippi lawmakers have passed a bill establishing a framework to legalize cryptocurrency mining in the state and protect miners from imposed discriminatory energy charges. 

The Concept Behind the New Legislative Bill

The Mississippi digital asset mining framework was created to legalize asset-mining businesses in industrial areas and sanction high electricity rates on mining businesses from the Public Service Commission (PSC). 

On February 8, Senator Josh Harkins introduced the cryptocurrency legislative bill to the American House of Representatives. The lawmaker emphasized that the mining sector is productive and has the potential to stabilize the power grid and provide solid financial revenue for infrastructure projects across the state. 

The House of Representatives bill, authored by Harkins, states that the mining sector has often faced regulatory challenges at the state and local levels. These challenges range from mandatory operations in lower electricity zones in the country to high energy and taxes charges and many more.  

According to the bill, Mississippi aims to explore the potential for digital asset mining, protect individuals and businesses from digital mining assets, and provide legal clarifications for all digital mining industries.

There will also be room for new mining businesses, allowing the state to continue to be a hub for all types of digital innovation setups and generate more revenue.

The bill states that “It shall be legal in the State of Mississippi to run a node for the main purpose of digital asset mining and operate a digital asset business.”

Furthermore, miners can also set up their power rigs in industrial zones without restriction. The bill makes it illegal to impose high electricity fees on all mining businesses and protects miners from being used as “money transmitters.”

In addition, further prohibition of discriminatory acts entails limiting noise from home mining beyond the initial existing limit, changing the zoning of a mining location without legal steps, proper notification, and an opportunity to appeal, and imposing other forms of requirements on miners beyond those locally applied to other zone users. 

Satoshi Action Fund founder Dennis Porter expressed his delight at the historical event, stating, “I’m proud to have been a part of this historic step in Mississippi. There is still more work to be done.”

Mississippi is one of the many states in America to enjoy digital asset innovations. It is a hub for all digital sphere enthusiasts looking to set up businesses and projects in the crypto space. 

Satoshi Action Media (SAM), a popular Bitcoin Mining Organization in Mississippi, also expressed excitement about the new bill’s potential positive impact. Dennis Porter, CEO of SAM, stated that he is proud to be one of the state’s historic mining companies but added that there is still work to be done to ensure the smooth operation of operations. 

The Mississippi new digital asset mining framework is scheduled to be effective from July 1, 2023, following further assessment and approval from the State House of Representatives members and the Governor. 

Cryptocurrency Mining: The United States Wide Arm Acceptance

The new Bitcoin mining bill in Mississippi is a smoke signal in accepting Blockchain technology and its vast applications in the state and country. However, it remains a “waiting prologue” on the adverse effects of accepting cryptocurrency mining and all it entails. 

Many quarters have cited the process’s negative impact on the green environment. According to the CryptoSlate report, two major mining industries – Foundry and Antpool – control 51% of the global hash rate in the United States. 

In December 2022, British Columbia authorities suspended power supply to new Bitcoin mining industries in the region for up to 18 months. However, whether the act was fueled by China’s mandatory ban on mining activities remains a debate. 

Despite the challenges, the future of crypto mining appears bright, as the recent price increase in Bitcoin and other crypto assets has significantly increased mining revenues.

More so, Texas continues to accept the crypto mining industries due to their vast revenue, with about 30 mining companies reportedly running operations in the state. 

Some analysts predict that the crypto space bill season is upon us. A good number of Bitcoin mining sectors have set in motion impactful strategies to make the most revenues of the upcoming crypto summer which will also benefit their state of operation.