Senate Bill Would Direct Treasury to Assess Crypto Mining Rates and Uses Over Time

Sens. Maggie Hassan, D-N.H., and Joni Ernst, R-Iowa, introduced legislation this week that would mandate the Treasury Department and other federal entities to review the use and mining of cryptocurrencies globally, and submit a detailed report to multiple Congressional committees.

Specifically, the three-page bill would require a comprehensive assessment of how non-U.S. nations gain and turn to virtual currencies, the policies they’ve implemented to encourage cryptocurrency adoption and how such use could strengthen or undermine foreign countries within their borders. The legislation also calls for the identification—“to the greatest extent practicable”— the types and dollar value of cryptocurrencies mined for each fiscal year from 2016 through 2022 explicitly in America, China and globally. Officials would also need to shed light on how cryptocurrency mining operations are impacting supply chains, like those for semiconductors and other critical technologies.

This bill comes a week after Treasury sanctioned a cryptocurrency exchange for the first time ever for reportedly laundering ransomware payments to criminals. Such malware-based attacks that require ransoms and involve virtual currencies to facilitate payments have escalated in recent months. And on the Hill, debates around amendments associated with cryptocurrencies have become increasingly heated. 

“In order to strengthen U.S. competitiveness, our government must get a better handle on the role that cryptocurrency is playing in the global economy and how it is being leveraged by other countries,” Hassan said.

The Homeland Security Committee member also recently asked multiple agencies to weigh in regarding how they investigate the role of digital currencies in cybercrimes.