In a recent turn of events, the Energy Information Administration (EIA) has decided to halt its controversial survey of crypto mining firms due to a lawsuit filed by Riot Platforms and the Texas Blockchain Council. This decision came after the lawsuit was launched on Feb. 22, naming the EIA, the Department of Energy, the Office of Management and Budget (OMB), and the heads of those agencies as defendants.
Republican Congressman Tom Emmer has also raised concerns about the data collection from crypto mining firms in a letter dated Feb. 22. Emmer argues that the OMB should only grant the EIA’s information collection request if it can demonstrate that mining is likely to cause public harm. Emmer emphatically stated that “Bitcoin mining is not a threat to public safety. Period.”
The survey in question has strong ties to the Biden administration and the Democratic party. A statement from the Biden White House in September 2022 specifically suggested targeting mining firms with energy limitation actions and laws. This has raised further concerns about the motivations behind the survey and its potential impact on the crypto mining industry.
Riot and the Texas Blockchain Council’s lawsuit against the EIA and other agencies hinges on the argument that the emergency approval and supposed public harm rationale are “facially absurd.” This legal challenge highlights the potential overreach of the government in collecting data from crypto mining firms, particularly without a clear demonstration of harm to the public.
The EIA’s original intent behind the survey was to address concerns about Bitcoin mining contributing to increased energy consumption during high demand periods, such as cold weather. The office aimed to collect data from 82 crypto-mining firms, with the threat of $10,000 daily fines for non-compliance until the survey period ended in July. However, the lawsuit and Congressman Emmer’s concerns have raised questions about the necessity and validity of the survey.
The pause of the crypto mining survey by the EIA following legal action highlights the complexity and controversy surrounding data collection practices in the crypto mining industry. With political implications, environmental concerns, and legal challenges at play, the future of the survey and its impact on the industry remain uncertain. It is essential for stakeholders to engage in meaningful dialogue and ensure that any data collection efforts are justified, transparent, and respectful of the industry’s interests.