New York’s mayor seeks balance with regulators after PoW mining moratorium

According to a Nov. 25 report, New York City Mayor Eric Adams is still committed to making New York a cryptocurrency hub, but his goal is to curb the environmental costs associated with cryptocurrency mining. We believe it can be combined with a statewide effort.

Comments follow new law signed New York Governor Kathy Hochul has banned proof-of-work (PoW) mining activities in the state for two years. The mayor, known as a crypto advocate, said he would ask the governor to veto the bill in June.

With the bill signed into law, the city will work with legislators to find a balance between the development of the crypto industry and the need for legislation, Adams said. Said New York Daily News:

“We will work with lawmakers who support and have concerns. I believe it will be a great meeting place.”

As reported by Cointelegraph, the PoW mining moratorium not only bans new mining operations, but also denies license renewals to those already operating in the state. New PoW mining operations in the state can only operate with 100% renewable energy.

Related: New York Governor Signs PoW Mining Moratorium

The United States leads the Bitcoin mining hash rate share by country, with 37.8% of the Bitcoin network hash rate coming from the country. His two-year moratorium on PoW mining could prove costly and even have a domino effect with other states following suit.

“We have to be a place that welcomes all technologies, and crypto is part of the overall technology we are looking at,” said Adams. “The question is how New York City, and America, will choose wisely to become a leader in this new technology,” Adams said.

After being elected, the politician took to Twitter to say that he would receive his first three salaries in cryptocurrencies, and expressed his intention to make NYC “the center of the cryptocurrency industry.”

New York has some of the strictest crypto exchange rules in the US. In June 2015, the state introduced the BitLicensing regulatory regime, which has been criticized for being hostile to cryptocurrencies. BitLicense applies to crypto organizations involved in the transfer, purchase, sale, exchange, or issuance of crypto.