This is why US authorities are pausing research into Bitcoin miners.

Bitcoin Miners Win Legal Battle: Energy Consumption Survey Paused


The United States has halted efforts to collect energy consumption data from Bitcoin miners following massive protests.

The Energy Information Administration (EIA), the US Department of Energy, last month announced plans to collect data on crypto miners' energy use.

Bitcoin mining is banned

The EIA's move drew immediate backlash from the mining community and various U.S. lawmakers who saw it as meddling. As a result, Riot Platforms, a popular bitcoin mining company, and the Texas Blockchain Council launched legal action against the authorities, claiming the survey was illegal and politically motivated.

A court order from February 23, shared by Pierre Rochard of Riot Research, states that the court favors Bitcoin miners. The Energy Department has criticized the action as arbitrary, capricious and ill-advised for lacking justification.

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As a result, the court issued a temporary restraining order to stop the survey and exclude the data the EIA had already collected from Bitcoin miners. Additionally, the EIA has confirmed that it will end the mandatory survey and continue the data collection for one month.

“EIA will not request any requirement to submit EIA-862 or any fines, penalties, or other adverse consequences for not responding to the survey by March 22, 2024,” the EIA said.

The recent ruling has been applauded by many in the crypto community. Environmentalist and investor Daniel Batten emphasized the importance of fair treatment for all energy users. Batten criticized the discriminatory nature of the harsh penalties for Bitcoin data centers compared to a more lenient approach to energy use for AI data centers.

In line with these views, GOP Majority Whip Rep. Tom Emmer applauded the survey's suspension, condemning the EIA's push for Bitcoin miners to disclose proprietary information.

Bitcoin mining power consumption. Source: Techpedia

In recent years, cryptocurrency miners have faced more scrutiny on their environmental impact and high energy use. However, stakeholders have argued that BTC mining operations contribute to the stability and efficiency of energy systems.

US Senator Cynthia Lammis specifically praised Bitcoin mining for its positive contribution to the US energy grid and the search for new energy sources.

“As I've said for years, Bitcoin mining is good for US energy grids and developing new/discrete energy sources. “We are very pleased to see that the EIA is temporarily suspending the intervention and ill-advised survey,” Lummis said.

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