Michaela Alvez
The Public Utilities Commission of Texas (PUCT) has implemented a new regulation requiring Bitcoin miners using the Energy Reliability Council of Texas (ERCOT) grid to register and provide key details regarding their facilities.
The rule, passed on November 21, instructs all miners to share their facilities’ locations, ownership details, and electricity demands with the agency. Bitcoin miners are required to register within one working day of connecting to the ERCOT grid.
Miners who fail to register on time will face with a Class A violation with fines of up to $25,000 per day.
ERCOT oversees electricity delivery for about 90% of Texas. It is one of the largest independent grid operators in the U.S. Ercot is unique as it operates almost entirely within Texas state lines. This enables it to avoid federal regulation under the Federal Energy Regulatory Commission (FERC).
PUCT Chairman Thomas Gleeson highlighted that the newly implemented regulation is aimed at ensuring the stability of Texas’ power grid as cryptocurrency mining operations expand across the state. This measure is designed to address the increasing energy demands posed by the rapid growth of mining facilities.
Is Texas the New Crypto Haven?
The regulations follow broader discussions regarding Texas’ role as a leader in cryptocurrency innovation.
Senator Ted Cruz, a vocal proponent of Bitcoin, has promised to make Texas the new haven for cryptocurrency businesses.
“I want it out of government control. I don’t want federal bureaucrats having control over it.” Cruz said, stating that the federal government’s disdain for Bitcoin is because it is decentralized and “they can’t control it.” The self-admitted crypto miner also stated that he wants Texas to be an “oasis” for Bitcoin.
During the North American Blockchain Summit on November 21, the Satoshi Action Fund (SAF) revealed that Texan lawmakers are in the early stages of discussing the Strategic Bitcoin reserve legislation.
Cruz shared that the current regulatory climate appears to be shifting toward more crypto-friendly policies, fueled by the optimism from the recent U.S. elections.
On the heels of the U.S. President-elect Donald Trump’s public support for cryptocurrency and its evolving regulations, investor confidence has surged, leading to a notable increase in interest in the crypto-mining industry.
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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.
