Arkansas Legislative Panel Authorizes Consideration of Bills to Regulate Cryptocurrency Mining
Arkansas lawmakers are diving into the world of cryptocurrency mining regulation as a legislative panel on Tuesday authorized the House to consider introducing bills to regulate this booming industry during the fiscal session. The move comes after concerns were raised about the impact of crypto mines on local communities and national security.
The House Select Committee on Rules approved eight resolutions aimed at amending the Arkansas Data Centers Act of 2023, which previously limited the state and local governments’ ability to regulate crypto mining operations. Crypto mines, which are large groups of computers that harvest digital currency, are often located in rural areas due to their space and energy requirements.
Republican Sen. Bryan King of Green Forest, who is leading the effort to amend the law in the Senate, emphasized that the goal is not to ban crypto mines but to address concerns raised by Arkansas residents. He highlighted the challenges faced by small towns and communities in dealing with billion-dollar companies and stressed the importance of having a fair discussion on the issue.
Residents from areas like DeWitt and Greenbrier have already experienced the impact of crypto mining operations, with concerns ranging from noise pollution to foreign ownership and national security risks. DeWitt resident Jackie Johnson expressed gratitude to lawmakers for opening up the conversation and addressing the potential damage to communities across the state.
The House resolutions, sponsored by lawmakers like Rep. Josh Miller and Rep. Rick McClure, received mixed reactions from the committee, with Rep. Jon Eubanks being the sole dissenting vote on some proposals. However, a resolution prohibiting certain foreign nationals from owning or investing in digital asset mining businesses in Arkansas garnered unanimous approval.
The Senate President Pro Tempore Bart Hester indicated that the House will take up the resolutions on Wednesday, with the Senate ready to reconvene if necessary to consider the legislation. Both chambers are scheduled to convene on Wednesday afternoon to continue the discussion on regulating cryptocurrency mining in Arkansas.
