Cryptocurrency miners in the United States have received a positive outcome as the previously suggested tax on their electricity consumption has been abandoned, as confirmed by Republican congressman Warren Davidson.
Following extensive discussions, President Joe Biden and House Speaker Kevin McCarthy successfully reached an agreement to extend the nation’s debt ceiling until January 2025. This extension surpasses the upcoming presidential election, signifying a significant development.
On Monday, Representative Warren Davidson from Ohio (R-Ohio) took to Twitter to confirm the latest development regarding the proposed cryptocurrency tax.
In response to Pierre Rochard, the Vice President of Research at crypto miner Riot Platform, who pointed out the absence of provisions regarding bitcoin mining in the newly proposed bill for raising the debt ceiling, Representative Warren Davidson expressed his views. He said “Yes, one of the victories is blocking proposed taxes”.
In the beginning of May, the White House introduced a proposal known as the Digital Assets Mining Energy (DAME) excise act, which involved implementing a tax on the electricity consumption of cryptocurrency miners. The suggested plan sought to impose a 10% tax on miners’ electricity usage starting in 2024, with a gradual increase to 30% by 2026.
