Kentucky poised to approve tax, energy incentives for cryptocurrency mining


Public records indicate that lawmakers in Kentucky appear set to approve two proposed laws aimed at incentivizing cryptocurrency mining activity in the U.S. state.

There are two bills moving through the state's legislature, known as the General Assembly. One is centered around tax incentives and, as noted by local media, is part of a broader push to draw technology businesses into Kentucky. The other measure would, if approved, extend the state's clean-energy incentives to cryptocurrency miners, provided that they meet a particular investment threshold of $1 million.

Voting records show that the Kentucky House of Representatives passed the energy bill Friday in a 74-19 vote after clearing the Senate on March 3. It's unclear at this time the extent of differences between the two chambers' bills and whether they'll need to be reconciled before final passage.

The legislature's tax-related bill passed the House of Representatives on March 3, with 84 voting to approve and 16 members not voting. According to the General Assembly's website, the tax bill was "posted for passage in the Regular Orders of the Day for Monday, March 15, 2021" in the House on Friday. A proposed amendment would sunset the tax exemption for miners in mid-2030. 

The developments come as the U.S. bitcoin mining ecosystem continues to grow, drawing significant interest from institutional investors. Despite high demand for hardware, such investors are betting that the U.S. will be competitive with China as a hub for mining operations. 

A mining pool operated by Digital Currency Group subsidiary Foundry opened to the public on Thursday.


Related Reading

Get Your Crypto
Daily Brief

Delivered daily, straight to your inbox.

Why BTG Pactual is launching a crypto platform

Brazil-based BTG Pactual, Latin America’s biggest investment bank, is launching its own crypto asset platform that will initially support bitcoin and ether trading. The platform will be called Mynt and allow customers to purchase bitcoin and ether, BTG Pactual’s Head of Digital Assets André Portilho tells The Block. Eventually, the platform will support other digital […]
Read Full Story
Sep 24, 2021, 9:17PM UTC

TRON USDC now available

Delivering on a vision for an interoperable global standard for dollar digital currency, Circle and TRON have partnered to make USD Coin (USDC) available on the TRON blockchain, which has grown to more than 56 million accounts and nearly 2.5 billion transactions since its founding just four years ago. TRON is home to a broad ecosystem for digital assets in Asia and around the world, and the TRON community can now benefit from easy access to the world's fastest-growing, regulated dollar digital currency. 
Read Full Story
Sponsored Post