A New Bid for Better Crypto Governance

Despite all the intelligence at their disposal, human beings have never managed to keep themselves from making a mistake time and time again. This dynamic remains pretty well-documented throughout our history, with each piece of testimony practically forcing us to look for a defensive cover. Now, while we’ll find that cover once we bring dedicated regulatory bodies into the field, the utopia to emerge from it was notably-short-lived, and if we are being honest, it was all technology’s fault. You see, technology’s layered nature went on to create a dynamic that gave everyone an unprecedented shot at exploiting others for their own benefit. Such a reality, like you can guess, nullified our entire progress and sent us back to square one. Fortunately, though, that won’t be the last time we see a power shift of this magnitude, as the governing force are now finally looking set to make a comeback. The traces of the stated comeback have been evident over the recent past, and one particular request should only solidify them moving forward.

Elizabeth Warren and other Democratic members of Congress have formally requested Environmental Protection Agency and Department of Energy to take action on the explosion of Bitcoin mining in the US. In their letter, the lawmakers predominantly asked these agencies to introduce a mandate that requires crypto-mining companies to share data on their energy use and emissions. This request is prompted by an investigation, which focused on learning about how the energy consumption was sizing up for seven of the biggest crypto-mining companies in the country. For instance, the stated investigation revealed that these companies boasted a collective capacity to use over 1 gigawatt of electricity, an amount that is enough to power the entire Houston city.

“The results of our investigation, which gathered data from just seven companies, are disturbing, with this limited data alone revealing that cryptominers are large energy users that account for a significant – and rapidly growing – amount of carbon emissions,” the letter to the EPA and Department of Energy stated.

The US authorities’ renewed interest in curbing the environmental impact of crypto-mining came together after China imposed restrictions on such operations in 2021, making US the ultimate global hub for cryptocurrency. This switch has already triggered a fair few measures on the regulators’ part, notably including New York’s two-year moratorium on new permits for fossil fuel power plants used to mine energy-intensive currencies. Now, assuming the latest effort actually goes on to make some noise, it will only ensure more resolute crypto governance moving forward.

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