White House pushes for tax on crypto mining

The White House administration plans to introduce a 30% tax on electricity for the extraction of digital assets when mining cryptocurrencies. Such an initiative was put forward as part of a program to minimize the harmful impact of this industry on climate change.

The proposed mining tax was first announced on March 9 as part of the budget for the 2024 fiscal year: the measure involved the phased introduction of a 30% tax on electricity used by miners. 

Yesterday, on May 2, representatives of the White House Council of Economic Advisers (CEA) again raised the topic of mining taxation. 

The council explained that currently companies engaged in mining cryptocurrencies do not pay for the harm caused by the process to the environment. In particular, for raising energy prices and contributing to the growth of greenhouse gas emissions. The new tax will force firms to take these parameters into account more. 

However, many were extremely dissatisfied with the plans of the Joe Biden administration. The Council's statement was called «disinformation» and «propaganda,» and some users of American social networks suggested that such a tax would push the development of mining in Russia and other countries.