Bill by US Congress proposes Bitcoin mining helps in economic growth
Pete Sessions has introduced a legislature saying how the Bitcoin mining process helps the state achieve energy goals while driving economic growth. Specifically speaking, the legislation talks about Proof of Work having the potential and could be very important for mining Bitcoin as a mainstream category.
The legislation also talks about how Bitcoin mining must be taken up to better see the economic results through Bitcoin mining.
The practice has been in use for over a decade; however, the acknowledgment of Proof-of-Work is noteworthy. Considering the fact that it contributes to the energy goals by utilizing the wasted methane as a fuel source, thereby lowering the methane emission, makes it rather a point that no one can simply miss.
It has also been acknowledged that Bitcoin mining is a process that is essential to the ecosystem, for it allows the network to be open, trusted, and decentralized. Another statement in its support put in the legislation says that the Proof-of-Work mechanism does not require a lot of energy consumption, adding that the entire consumption is transparent & verifiable.
Bitcoin mining through Proof-of-Work utilizes just 0.14% of the global energy supply, something that the miners can adjust during times when the demand is higher. Economic viability is improved for renewable energy projects by using the excess supply.
Miners will, however, have to lower their operations at a time when there is a surge in demand by the grid or households.
The legislation clarifies that the mining mechanism can help the country in developing advancements in sectors, namely infrastructure, national security, and economy. A collaboration with the energy sector is also in the picture with the objective of bringing innovation to improve the independence of the sector in the United States of America.
Talking about China, Pete Sessions says that the country has chosen to push PoW miners out of the country and instead move on with Central Bank Digital Currency. It is unclear if the hint is at housing those miners or offering temporary relief to them till the time the nation’s miners realize to begin leveraging the benefits themselves.
There is a scope to develop the sector and create sustainable jobs in the market, provided the US looks to invest in it. Assuming the country goes forward with developing the sector, there is a chance that it will drive innovation and job growth. It is estimated that the jobs will pay out fairly well in the tech area, with no specific number mentioned anywhere.
The US could also turn to issuing CBDC and follow in the footsteps of China, but they are less likely to drive PoW miners out of the region. There is little to no chance that they will drive away PoW miners.
Legislation has been proposed to leverage the capabilities of the PoW mining mechanism, for it does not take away a larger portion of the global supply in contrast to how the mechanism has been portrayed.