The New Hampshire Senate has paused progress on a bill intended to ease regulations on cryptocurrency mining, following a surge in public opposition. Lawmakers on the Senate Commerce Committee found themselves divided over the proposed legislation, House Bill 639, and ultimately decided to send it to an interim study for further examination. The committee vote ended 4–2 in favor of further review, after two earlier deadlocks — one on advancing the bill and another on rejecting it.
House Bill 639 seeks to limit the power of local governments and state authorities to regulate crypto mining operations. Specifically, the bill would block municipalities from enforcing rules related to energy consumption and noise levels, and would bar the imposition of taxes unique to digital assets. It also includes provisions affirming the right of individuals and businesses to mine cryptocurrencies and calls for the establishment of a specialized blockchain docket in New Hampshire’s superior court system. This docket would handle disputes related to blockchain and crypto, with cases overseen by a judge appointed by the governor.
The proposal, originally introduced by Republican Representative Keith Ammon, was first debated in May. At that time, senators agreed to return the bill to committee to refine its language and build greater bipartisan support. The bill is not expected to face a full Senate vote until 2026, giving lawmakers ample time to weigh its potential implications.
According to Senator Tara Reardon of Concord, public response to the bill has been overwhelming. She reported receiving more emails about this legislation than any other during her tenure, reflecting the deep concern of constituents regarding its environmental and regulatory impacts.
Crypto mining, especially in proof-of-work systems like Bitcoin, requires immense computational power and consumes significant amounts of electricity. Critics argue that this energy usage contributes to environmental degradation. However, recent developments suggest the industry is moving toward greener practices. Data from the MiCA Crypto Alliance and analytics firm Nodiens shows that coal’s share in Bitcoin mining has dropped sharply—from 63% in 2011 to just 20% by 2024. Simultaneously, renewable energy adoption within the sector has been increasing at an average rate of 5.8% per year.
Despite these improvements, several U.S. states are taking steps to curb the environmental footprint of crypto mining by introducing taxes on energy consumption. For instance, in New York, Senator Liz Krueger recently introduced a bill that would impose a tiered excise tax on energy used by mining operations. Under her proposal, miners using up to 2.25 million kilowatt-hours (kWh) annually would be exempt, while those consuming between 2.26 million and 5 million kWh would be taxed at 2 cents per kWh.
The debate in New Hampshire reflects a broader national conversation about the role of cryptocurrency and blockchain technologies in the U.S. economy. While proponents argue that deregulation could foster innovation and economic growth—particularly in rural areas where crypto farms could bring jobs and infrastructure—critics warn of unchecked energy use, noise pollution, and the strain such operations could place on local power grids.
Another layer of concern stems from the lack of clarity surrounding legal frameworks for digital assets. By proposing a blockchain-specific court docket, New Hampshire aims to position itself as a leader in legal infrastructure for emerging technologies. Supporters of the bill believe that such judicial specialization could attract crypto businesses by offering more predictable legal outcomes, while skeptics worry it may tilt the legal balance too far in favor of industry players.
The bill’s delay also highlights the growing influence of public opinion in shaping crypto-related policy. As the technology becomes more mainstream, voters are increasingly aware of its potential benefits and risks. Lawmakers are responding by taking a more cautious and studied approach, rather than rushing to embrace deregulation.
In the broader context, the stalled progress of HB 639 may signal a shift in how states approach crypto mining. Rather than blanket deregulation or outright bans, policymakers appear to be seeking a middle ground—balancing innovation with environmental responsibility and consumer protection. This more nuanced stance could help shape federal guidelines in the future, especially as the Securities and Exchange Commission and other regulatory bodies continue to grapple with how to classify and oversee digital assets.
Furthermore, the economic implications of crypto mining are attracting attention from both supporters and opponents. On one hand, mining operations can generate tax revenue, create jobs, and boost demand for local services. On the other hand, large-scale mining facilities are often criticized for driving up electricity prices for residents, straining public utilities, and contributing to carbon emissions.
As the bill undergoes interim study, it will likely be subjected to a series of impact assessments, expert testimonies, and public hearings. These will explore its legal, economic, and environmental ramifications in greater depth, potentially leading to a more refined version of the legislation by the time it returns to the Senate floor.
Whether New Hampshire ultimately embraces a deregulated environment for crypto mining remains to be seen. For now, the state appears committed to a thorough and deliberate review process—one that reflects the growing complexity and significance of digital asset technologies in the modern economy.