Arizona Governor Katie Hobbs has vetoed legislation that would have barred municipalities from taxing cryptocurrency mining operations.
on wednesday Letter, Hobbs said that the bill SB 1236 seeks to tie the hands of local stakeholders with regard to crypto mining policy setting. He said:
“The bill broadly defines “blockchain technology” and prevents local policymaking related to an emergent and potentially energy-intensive economic activity.”
The law, first introduced in January, aims to amend sections of statutes related to blockchain technology, largely reducing or eliminating regulation and taxation of node operators at the state level.
In other words, it wanted to ensure that the taxes and fees imposed on blockchain mining node operators were a statewide concern and not a matter that could be decided at the city, town or county levels.
“No tax or duty shall be imposed on any person or entity for operating a node in a residence on blockchain technology in a city or town,” Said Senate version of the bill.
“The imposition of a tax or fee on a person or entity operating a node on blockchain technology in a residence is a statewide concern and is not subject to further regulation by any city or town.”
SB 1236 was sponsored by Arizona Senator Wendy Rogers, a member of the Republican Party known for her crypto-friendly stance.
Rogers has also introduced legislation to make bitcoin legal payments in Arizona and to allow state agencies to accept the cryptocurrency as payment.
Furthermore, the senator has introduced two more crypto-related bills.
One bill, SB 1239, aims to allow state agencies to accept crypto as payment. Another, SB 1240, aims to exempt cryptocurrencies from property taxes.
These bills are recorded as passed, meaning they have passed Arizona’s Senate and can now be considered by the House.
US senators introduce bill aimed at increasing transparency around crypto mining
Last month, US Senator Edward Markey and Representative Jared Huffman revealed Congress intends to reintroduce the Crypto-Asset Environmental Transparency Act to promote greater transparency around crypto mining and its environmental impacts.
The bill would require crypto mining companies to disclose emissions for operations that consume more than 5 MW of power or “multiple crypto-asset mining facilities that are owned by the same company and each have a power load of 5 MW.” is less than; but has” a cumulative electrical load that is greater than or equal to 5 MW.”
Similarly, US lawmakers have recently ramped up efforts to regulate the crypto industry in the wake of some high-profile failures last year.
The SEC, in particular, is cracking down on cryptocurrency companies, charging exchanges, lending platforms, and other digital asset firms violating securities laws.