The cryptocurrency law will likely overturn the Missoula county zoning law, which was one of the first laws in the US to target the mining industry. cryptocoin.comWe have compiled the details of the law, which is accepted as a law, for you.
Cryptocurrency law passed
The Montana State Senate passed a bill on Thursday protecting crypto miners from a range of potential actions against the industry. The proposed law was passed 13 to 37 in the Senate and will then go to the state legislature for approval. The bill avoids discriminatory usage rates for miners and stipulates that cryptocurrency used as payment will not be subject to additional taxes.
The legislation also draws strength from local governments, preventing them from acting against home mining or using retroactive zoning laws to shut down active operations. “These protections will raise a flag that sends the message that we are open to adopting the cryptocurrency mining industry in Montana, in addition to clarifying the tax law regarding cryptocurrencies when used as payment,” said Montana Senator Daniel Zolnikov.
The new law could possibly overturn the 2020 Missoula County zoning ordinance, which requires all Bitcoin miners to purchase or build renewable energy assets equivalent to their energy consumption. “Missoula County has no position on this bill and we are not concerned that it will affect our regulations,” a representative from the county said.
Bitcoin miners have been targeted by environmentalists and US lawmakers for their potential impact on electricity grids as well as carbon neutrality goals. Bitcoin advocacy group Satoshi Action Fund helped outline the language in the bill. “There’s still a lot of work to be done in Montana, but we are confident about the progress we’ve made as a startup,” said Dennis Porter, CEO and co-founder of Satoshi Action Fund.
It will be useful for miners.
According to the new bill, crypto miners will be given the “right to mine cryptocurrencies.” In addition, the bill will prohibit “discriminatory” electricity rates from crypto miners as well as protect home mining.
It is noteworthy that after the bill was approved by the state Assembly, the additional tax on the use of crypto money as a payment method was prohibited. Also, cryptocurrencies, including cryptocurrencies and NFTs, will be considered ‘personal property’ along with other financial products such as bonds and stocks.
As a result, the new bill portrays Montana’s determination to protect the ‘right to mine crypto’ and to ‘create legal certainty’ for crypto miners. The legislation prominently mentions that mining ‘provides positive economic value’ and will potentially help stabilize the grid and ‘provide income for infrastructure upgrades’.
