President Biden’s Proposed Crypto-Mining tax: a Step in the Right Direction
by Gigi Singh
May 5, 2023
The DAME tax on crypto mining introduced by President Biden is a commendable first step towards addressing the climate and community impacts of this energy-intensive activity– however, it is not a long-term solution. The detrimental effects of crypto mining like that of Bitcoin in particular on the environment and society are widespread and necessitate a fundamental change in its polluting and energy-intensive code it employs. Recognizing and regulating the industry is a positive sign of increasing awareness and resistance to Bitcoin mining's harmful practices but it is only the first step.
Washington, DC (May 5, 2023) – In response to President Biden’s proposed Digital Asset Mining Energy (DAME) excise tax, Joshua Archer, Greenpeace USA’s Bitcoin Project Lead, stated, “Bitcoin miners are profiting at the expense of communities and our planet. President Biden’s proposed DAME tax on crypto mining is a step in the right direction and could encourage miners to start paying their fair share. But we cannot tax our way out of the climate crisis. To defend the health and wellbeing of impacted communities, and reduce emissions in line with keeping our planet habitable, we need a fundamental change in the energy-intensive code that’s driving Bitcoin mining toward a cliff. Bitcoin, the largest and most polluting cryptocurrency, emits greenhouse gas (GHG) emissions annually in the U.S. that rival those of medium-sized countries. It is the main driver of these crypto mines. By changing its code, Bitcoin could reduce its GHG emissions by more than 99%, and these mines would virtually disappear.”
A recent report from the Environmental Working Group (EWG), shows that Bitcoin mining is causing a devastating impact on communities through significant noise, air, and water pollution, leading to serious health concerns. Furthermore, a recent article from The New York Times revealed the shocking energy consumption of Bitcoin mining, with the industry’s carbon footprint exceeding that of many countries. It is clear that action must be taken to address the environmental and social impacts of Bitcoin mining.
Contact: Gigi Singh, Senior Communications Specialist at Greenpeace USA (+1) 631-404-9977, [email protected]
Greenpeace USA is part of a global network of independent campaigning organizations that use peaceful protest and creative communication to expose global environmental problems and promote solutions that are essential to a green and peaceful future. Greenpeace USA is committed to transforming the country’s unjust social, environmental, and economic systems from the ground up to address the climate crisis, advance racial justice, and build an economy that puts people first. Learn more at www.greenpeace.org/usa.