US Abused Power in Bid to Collect Crypto Energy Use, Groups Say
02/08/2024 06:32
(Bloomberg) -- The US Energy Department’s new mandatory survey to collect data from Bitcoin miners is “an abuse of authority” by the Biden administration vying to limit the industry, two groups allege. Most Read from BloombergTesla Asks Which Jobs Are Critical, Stoking Layoff FearsHaley Loses Nevada Primary to ‘None of These Candidates’ OptionChina Replaces Top Markets Regulator as Xi Tries to End RoutUS Commercial Real Estate Contagion Is Now Moving to EuropeCitadel Among Hedge Funds That Got M
(Bloomberg) -- The US Energy Department’s new mandatory survey to collect data from Bitcoin miners is “an abuse of authority” by the Biden administration vying to limit the industry, two groups allege.
Most Read from Bloomberg
Haley Loses Nevada Primary to ‘None of These Candidates’ Option
China Replaces Top Markets Regulator as Xi Tries to End Rout
Citadel Among Hedge Funds That Got Morgan Stanley’s Block-Trading Leaks
The claim comes after the Energy Information Administration, the statistical arm of the federal agency, reported last week that cryptocurrency mining represented as much as 2.3% of the country’s entire electricity use in 2023, citing publicly available data. From February to July, the EIA will collect monthly data on cryptocurrency energy use after it was granted emergency clearance to do so.
Read More: Bitcoin Miners in US Consume Up to 2.3% of Nation’s Electricity
The EIA’s emergency action is tantamount to federal overreach and has implications for all industries that rely on data centers for their operations, Lee Bratcher, president of the Texas Blockchain Council, and Perianne Boring, chief executive officer of the Chamber of Digital Commerce, said in a statement. They called the move politically motivated to help the White House achieve its goals to cut greenhouse gas emissions.
The EIA didn’t immediately respond to a request seeking comment.
Bitcoin mining requires extensive use of energy, generating concerns among policymakers and electric grid planners about straining US grids and energy-related carbon dioxide emissions. Miners argue they help reduce grid stress by turning off and freeing up power so others can use it during critical times.
Most Read from Bloomberg Businessweek
©2024 Bloomberg L.P.