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With Bitcoin mining still at the center of the debate over cryptocurrency's environmental footprint, U.S. Senator Ted Cruz has introduced legislation intended to change the narrative — and the power source.
The Facilitate Lower Atmospheric Released Emissions (FLARE) Act — announced on March 31 — would seek to use wasted natural gas to help power Bitcoin mining and other productive uses.
The bill allows for permanent full expensing for property used to capture gas that would normally be flared or vented into the atmosphere. The aim is to give energy entrepreneurs—especially crypto miners—tax incentives to deploy this stranded resource to create energy.
Cruz emphasized the bill's environmental and economic angles in a statement released when it was announced.
"The FLARE Act takes advantage of Texas's vast energy potential, reinforces our position as the home of the Bitcoin industry, and is good for the environment," he said in a statement about the bill, which he believes was designed to make the state of Texas the best place for Bitcoin miners.
Further, the bill prohibits participation by enemy nations, including China, Iran, North Korea, and Russia, highlighting what is indisputably a geopolitical cast to the legislation. It also frames Bitcoin mining as part of a national resource strategy that might coincide with deeper goals for energy independence.
As reported earlier, China announced it had limited businesses within its borders from making American investments, but the Bitcoin mining sector stays entwined.
In a press release, Hailey Miller, Director of Government Relations at the Digital Power Network, indicated support, noting that "bitcoin miners are uniquely positioned to help reduce emissions by harnessing stranded and wasted energy sources," claims reports
The action reflects comments made by President Donald Trump, who promised that all of the remaining Bitcoin should be mined in America. Cruz's measure could be considered part of a larger political drive to keep crypto innovation — and energy consumption — inside U.S. limits with a climate-conscious touch to mining.
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