Table of Contents
- U.S. becoming more hostile to crypto
- Crypto mining a likely attack vector
- Montana seeks to protect miners
The “right to mine” crypto bill has passed its third reading in the Montana State House of Representatives, so it only now remains for the Governor to sign the bill in order for it to become law.
U.S. becoming more hostile to crypto
With President Biden proposing a 30% crypto mining tax to be phased in over 3 years, it is very important for States like Montana to be seeking the protection of law for such an important source of revenue for crypto miners, as well as protecting their right to mine.
Operation Choke Point 2.0 would likely not be admitted as a thing by the Biden administration, but given the anti-crypto actions of the administration over recent weeks, and the increasing hostility of the regulatory agencies, it would appear that the U.S. is gearing itself up to take the sector down, at least within its borders.
It also might be surmised that strangling the crypto industry in the U.S., may not be enough, and that the U.S. could use its influence internationally in order to crush crypto in other countries.
Crypto mining a likely attack vector
Bitcoin is the most secure and decentralised network in the world, and the only attack point that the U.S. and other countries might be able to exploit is that of mining, given that Bitcoin’s proof-of-work consensus mechanism requires it.
Montana seeks to protect miners
The Montana bill proposes the right to mine digital assets without the imposition of any discriminatory taxes. The bill also stretches to those who mine at home, and protects these miners from zoning laws which could be levied by local authorities.
Very importantly, the bill also includes a prohibition on extra taxes for those who wish to pay with cryptocurrencies. These would be categorised by the bill as “personal property” and would include other digital assets such as NFTs and stablecoins.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.