On November 22, New York Governor Kathy Hochul signed into law the proof-of-work (PoW) mining moratorium, making New York the first state in the United States to ban any proof-of-work cryptomining activity. work for a period. two years old

The PoW mining ban will not only prevent the establishment of new mining operations, but will also prevent the renewal of permits for existing mining companies that are already within the state.

Any new PoW mining company that wanted to get started in the state had to use fully renewable energy sources in order to do so.

In April this year, the PoW mining measure first passed with the approval of the state assembly, and then passed with the approval of the state senate in June.

As a result of pressure from lobbyists and in order for the state to meet its carbon emissions targets, Governor Huchkul was eventually persuaded to sign the measure into law.

PoW mining is the method that most Bitcoin miners and some others CRYPTOCURRENCIES use to reach a consensus.

When it comes to verifying the legitimacy of a transaction on a blockchain, this approach is considered one of the most secure and decentralized out there.

Despite this, the technique has been clouded by disputes over the enormous amount of energy it requires.

The United States of America now ranks first on the list of bitcoin mining hash rate stocks by nation. The United States contributes 37.8% of the total hash rate generated by the bitcoin network. Banning PoW mining for the next two years could prove costly and perhaps trigger a ripple effect that would lead other governments to adopt a similar strategy.

Proof-of-Work (PoW) mining FUD is not new and has been discredited numerous times; however, there has been a significant lobbying effort over the past year, particularly by proponents of proof-of-stake (PoS) mining.

On the other hand, lawmakers have conveniently ignored study findings suggesting that a large portion of the energy used for bitcoin mining originates from renewable sources.

In the Markets for Crypto Assets (MiCA) legislation being considered in Europe, cryptocurrency authorities have advocated for a ban on PoW mining.