Emmer says emergency bitcoin miner survey order was an abuse of power 

Rep. Emmer says the Office of Management and Budget should only be using its emergency powers in cases that present serious threats to public safety

article-image

Rep. Tom Emmer | Al Mueller/Shutterstock modified by Blockworks

share

House Majority Whip Tom Emmer, R-Minn., is pushing back against a recently-approved emergency request that would collect data from bitcoin mining operations in the United States. 

The Office of Management and Budget (OMB) last month greenlighted the Energy Information Administration’s (EIA) request for emergency clearance to conduct a mandatory survey on the location of and energy usage patterns of bitcoin mining operations across the country. 

“The OMB’s emergency approval authority is to be utilized when there is an imminent threat to public safety, and I am writing to express my deep concern regarding the OMB’s usage of these authorities in this instance, as bitcoin miners do not present a threat to public safety,” Emmer wrote in a letter to the OMB Tuesday. 

Read more: US Department of Energy demands consumption stats from bitcoin miners

The EIA currently estimates that in 2023 bitcoin mining used between 0.2% and 0.9% of global demand for electricity. In the US, the agency believes bitcoin mining “probably represents” between 0.6% and 2.3%” of consumption. 

“This additional electricity use has drawn the attention of policymakers and grid planners concerned about its effects on cost, reliability and emissions,” the EIA wrote earlier this month. 

“Key challenges associated with tracking cryptocurrency mining energy use include the difficulty of identifying cryptocurrency mining activity among millions of US end-use customers and the dynamic nature of the crypto market, where mining assets can be moved rapidly to areas with lower electricity prices,” the agency added. 

The EIA has identified 137 bitcoin mining facilities across 21 states, with the highest concentrations in Texas, Georgia and New York. Operations contacted by the agency “are required to respond with details related to their energy use.”

Read more: A bitcoin mining behemoth makes buy to get even bigger

“The filing does not mention crypto mining’s unique ability to curtail load during peak hours or inclement weather,” Emmer said. 

Emmer is requesting the OMB explain why the agency opted for an emergency authorization versus “normal clearance procedures.” The Representative also wants to know if the agency will seek criminal charges against companies who refuse to respond to the survey request. 

The EIA said earlier this month it will start collecting data immediately and expects to share preliminary results by the middle of this year.


Start your day with top crypto insights from David Canellis and Katherine Ross. Subscribe to the Empire newsletter.

Explore the growing intersection between crypto, macroeconomics, policy and finance with Ben Strack, Casey Wagner and Felix Jauvin. Subscribe to the On the Margin newsletter.

The Lightspeed newsletter is all things Solana, in your inbox, every day. Subscribe to daily Solana news from Jack Kubinec and Jeff Albus.

Tags

Upcoming Events

Salt Lake City, UT

MON - TUES, OCT. 7 - 8, 2024

Blockworks and Bankless in collaboration with buidlbox are excited to announce the second installment of the Permissionless Hackathon – taking place October 7-8 in Salt Lake City, Utah. We’ve partnered with buidlbox to bring together the brightest minds in crypto for […]

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Permissionless is a conference for founders, application developers, and users. Come meet the next generation of people building and using crypto.

recent research

Research Report Templates (1).png

Research

Solana Mobile is a highly ambitious foray into the mobile consumer hardware market, seeking to open up a crypto-native distribution channel for mobile-first applications. The market for Solana Mobile devices has demonstrated a phenomenon whereby external market actors (e.g. Solana-native projects) continuously underwrite subsidies to Mobile consumers. The value of these subsidies, coming in the form of airdrops, trial programs, and exclusive NFT mints, have consistently covered the cost of the phone and generated positive returns for consumers. Given this trend in subsidies, the unit economics in the market for Mobile devices, and the initial growth rate and trajectory of sales, it should be expected that Solana mobile can clear 1M to 10M units over the coming years. As more devices circulate amongst users, Solana Mobile presents a promising venue for the emergence of killer-applications uniquely enabled by this mobile-first, crypto-native distribution channel.

article-image

Plus, breaking down Donald Trump’s shifting crypto stance

article-image

Markets are holding relatively steady despite the supply shock

article-image

Analysts are looking ahead to August, a historically volatile month made more interesting this year by the US presidential election

article-image

Plus, a look into Lighting Labs’ newest feature

article-image

Crypto’s Wild West era is over — it’s time to embrace regulation to secure the future of digital assets

article-image

Plus, Solana has now surpassed Ethereum in trailing 30-day decentralized exchange volume