US Energy Halts Data Collection on Crypto Mining Energy Use

The U.S. Energy Information Administration (EIA) has discontinued its emergency data collection on energy consumption in cryptocurrency mining following a lawsuit. 

The EIA launched the survey in January, requiring mining companies to submit details on energy use, with threats of fines for non-compliance. This prompted a lawsuit from the Texas Blockchain Council and Riot Platforms, arguing the EIA lacked authority for such sweeping data collection.

On Friday, the EIA confirmed it would halt the survey and destroy any data already collected. According to a court filing, the decision came after the parties in the lawsuit reached an understanding. Before considering any future similar requests, the EIA will follow standard public comment processes. 

Opponents contended the EIA survey sought intrusive private data that could irreversibly harm mining companies. It came amidst growing tensions between regulators and crypto on mining’s energy use.

The Biden administration had ordered the EIA data collection to examine Bitcoin’s electricity consumption. With crypto’s environmental impact under scrutiny, the industry saw the pre-election timing as political. 

Winning crypto voters, now 52 million Americans, could be critical in 2024. The halted EIA survey suggests the next administration may take a friendlier stance toward the cryptocurrency industry.

Also read: EIA Begins Data Collection on US Crypto Miners’ Energy Use