Session Summary: A Legislative Rollercoaster
The 88th legislative session in Texas is drawing to a close on May 29, and as it wraps up, we’re left with a few unfinished business items, especially in the realm of digital assets. While legislators shuffled some bills around like poker chips, significant resolutions were nowhere to be found. Senate Bill 1751, which aims to place restrictions on crypto mining firms, was delayed in committee, leaving advocates and companies scratching their heads.
What’s In S.B. 1751?
This legislation, plunged into the Committee on State Affairs since April 24, seeks to amend sections of Texas’ utilities and tax code. The heart of the debate lies in whether to cap incentives for crypto miners at 10%—a proposal that has stirred a pot of criticism among digital asset advocates. Without action on this bill, miners can continue to enjoy a less-restricted operational environment in Texas.
Other Bills Ready to Roll
Just because S.B. 1751 is stuck in traffic doesn’t mean it’s all doom and gloom in the Texas crypto universe. Two other bills, House Bill 1666 and House Bill 591, have already cruised through both legislative chambers and await a thumbs up or down from Governor Greg Abbott. But don’t pop the champagne just yet; Abbott has until mid-June to make up his mind, thanks to the holiday schedule extending his typical 10-day window for vetoes.
House Bill 1666: Proof of Reserves
House Bill 1666, which recently passed the Senate, requires digital exchanges to maintain sufficient reserves—a fancy way of saying they’ve got to keep enough cash in the piggy bank to fulfill customer obligations. Pretty responsible, right? As part of the requirements, exchanges must submit reports to the Texas Department of Banking on their liabilities. Nothing like a little financial transparency in the wild west of crypto!
House Bill 591: Turning Wasted Gas into Gold
Meanwhile, House Bill 591 takes a more innovative approach by allowing Bitcoin miners to harness flare gas emissions to power their mining machines. Imagine, instead of letting that gas just flounder away, it’s now being used to fuel the next big Bitcoin heist. In celebration of this eureka moment, one supporter tweeted:
BREAKING: Texas Legislature passes HB 591! it clarifies that formerly flared or vented gas can be sold to on-site mobile data centers.
This clever move is expected to reduce carbon impact by a whopping 63%. Talk about a win-win!
What’s Ahead for Crypto in Texas?
As we navigate the unpredictability of Texas legislation, it’s clear that the relationship between lawmakers and crypto companies is anything but straightforward. Yes, there’s a lot of progress, but the nagging concern about energy consumption and environmental impact looms large. With more legislation in the pipeline aimed at securing residents’ rights to possess and utilize digital currencies, the future of crypto in Texas remains a hot topic of discussion. Will Abbott approve the booming bills, or will he hit the brakes? The clock is ticking!
