The American state of Mississippi is making strides in protecting the rights of cryptocurrency miners with the recent passage of the Mississippi Digital Asset Mining Act.
This new legislation has been authored by state Senator Josh Harkins and is now being considered by the state House of Representatives.
Mississippi is home to many cryptocurrency miners, who are drawn to the state because of its low electricity rates. However, the industry has faced various challenges in the past, making it difficult for miners to operate in the state.
The Digital Asset Mining Act aims to solve this problem by legalizing home digital asset mining and the operation of mining businesses in areas zoned for industrial use.
The bill also provides protections for miners, prohibiting local authorities from imposing discriminatory rates on mining businesses and limiting noise from home mining beyond existing limits.
Additionally, the bill exempts home and business miners from money transmitter status and gives them the right to appeal any changes to the zoning of their mining center.
The Satoshi Action Fund, an organization that supports the growth of the cryptocurrency industry, has been active in Mississippi, with CEO Dennis Porter speaking at a meeting of the Mississippi Senate Finance Committee in January.
He emphasized the potential for crypto miners to use orphaned oil and gas wells as a power source.
Both the Senate and House bills mention the use of orphan wells as a potential source of power for cryptocurrency mining.
The House bill would establish a state Digital Asset Mining Council, which would consider the use of the wells and other important issues throughout the year.
