New PoW Legislation In New York Will Be Bad For Business

Teana Baker-Taylor, the chief policy officer for the Chamber of Digital Commerce, has recently voiced her opinion on legislation that will place a moratorium on approvals for permits for digital mining operations that use nonrenewable energy sources.

The New York State Assembly recently approved bill A.7389C which sets a moratorium on approving new applications or permits for digital asset mining operations, also known as proof-of-work (PoW) mining, which uses electric power generated by carbon based fuels, such as coal.

Baker-Taylor believes that this proposal won’t accomplish much for the environment and might even cause real harm to areas of New York that are working to attract new businesses.

It is estimated that PoW used around 24 terawatts of power in 2020, which is about 0.16% of the global energy consumption. Baker-Taylor believes that these numbers show that eliminating PoW will not make a meaningful dent in carbon emissions and might even slow down the more to more renewable energy production and usage.

Baker-Taylor also stated that the global mining industry’s sustainable electricity mix stands at 58.5%. Very few industries can boast such an environmentally friendly profile.

She also added that many states want to encourage digital asset mining operations and are ready to arract New York-based companies who seek a more welcoming financial environment.

In Texas, stakeholders have testified that PoW has actually helped to stimulate the economy, create jobs ,promote the development of renewable energy like solar or wind and improve their tax base.

Baker-Taylor concluded by stating that by working together, the digital asset mining industry and New York can set the standard for expanding sustainable and ethical business growth.

She also believes that the state Senate should vote down this proposal when the time coes to make a vote.