The White House Council of Economic Advisers (CEA) said in a statement on Tuesday that U.S. President Joe Biden is considering imposing punitive taxes on cryptocurrency mining operations because “they cause harm to society.”
The government has proposed a tax equivalent to 30% of the cost of energy for mining companies, an unusual industry-specific penalty that could threaten such companies’ profits.
The CEA said that currently crypto mining companies do not need to pay the full costs they have caused, including local environmental pollution, higher energy prices and the impact of increased greenhouse gas emissions on the climate.