Kentucky to Pass Bill to Incentivize Cryptocurrency Mining
Kentucky is working on two proposed laws that aim to incentivize cryptocurrency mining.
According to public records, there are two bills going through the state’s legislature, one of which is focused on tax incentives, and the other centers around extending the state’s clean-energy incentives to crypto miners if they pass the investment threshold of $1 million. If approved, the legislation would become effective from July 1st, this year.
Earlier this month only, lawmakers in the state-approved House Bill 230 to draw cryptocurrency mining operations to the US state by removing sales tax obligations from electricity purchased for use by cryptocurrency mining businesses. The bill has been moved to the state’s upper legislative house for review along with Senate Bill 255 for a tax break for crypto miners.
The proposed amendment asks for limiting the sales and use tax exemption to electricity used in the commercial mining of cryptocurrency to sunset June 30, 2030, instead of 2025.
As we have seen lately, while at the federal level, the cryptocurrency industry has yet to see any clarity, at the local levels, authorities are taking a positive approach to attract the sector. Wyoming and Miami are prime examples. But this is not limited to the US, as we also saw this in the context of Pakistan and China.