The US Government wants your Bitcoin Miners!?

[Pmalek]

1: They want to tax Bitcoin mining activities,  to make money from the business to sort out their debt.

Bitcoin mining is already taxed in the United States according to whatever law exists in the jurisdiction the mining operation is located. Mining companies pay taxes like any other business ventures, they aren't exempt from it. Plus, the companies are registered as being mining operations, so there is already a paper trail of what they are doing.

[1714230508]

1714230508

[m2017]

the Biden Administration announced an emergency data collection initiative targeted at bitcoin mining operations in the US via the US Energy Information Administration, an "independent" sub-agency of the Department of Energy. It seems that the Biden Administration is identifying the electricity usage of the bitcoin mining industry as an emergency that is threatening grid stability throughout the US, as is evidenced by the name of the survey; "Proposed Emergency Survey - Cryptocurrency Mining Facilities."

Well, yes, that's right. Only bitcoin consumes electricity in the country and threatens the stability of the power grid.

/sarcasm off

Another demonization of bitcoin / mining to create a plausible pretext for struggle regulation.

Here are a few interesting points from the article:

- They require that all mining facilities respond and fill out the survey as it's required by law.
- The companies need to submit their addresses and points of contact.
- The companies must state if they are mining Proof-of-Stake or Proof-of-Work coins. We all know this is bullshit, as Bitcoin is the target here.
- The companies need to state how many facilities they have in the US and provide precise coordinates.
- Mining companies must state the number of miners, their models, and the number of produced hashrate.
- EIA also requires information about how much electricity is being consumed.
- They need to name their electricity service providers.

This is the beginning of the end of the "wild west" era in the cryptocurrency industry. The regulator begins his last campaign for the scalps taxes of miners. Or not quite the last one. At the next stage will they come for bitcoin holders?

It’s not out of simple curiosity that they want to know everything in detail about miners. Total regulation (miners) has been launched.

[Abiky]

Bitcoin mining is already taxed in the United States according to whatever law exists in the jurisdiction the mining operation is located. Mining companies pay taxes like any other business ventures, they aren't exempt from it. Plus, the companies are registered as being mining operations, so there is already a paper trail of what they are doing.

Does taxation only apply to crypto mining companies? Or home mining as well? I fail to see how the US will be able to tax someone mining at their basement. Especially when it's solo mining. I won't be surprised if mining pools start asking for personal ID documents (KYC) due to US government regulations. Only then, it will be easy enough to enforce taxation on personal miners.

Maybe we'll see decentralized mining pools such as P2Pool.in or Smartpool.io take off in the future? The government won't stop hunting down Bitcoin and its variants (altcoins), so we should expect the worst. 

[gunhell16]

Even when the greed of the US government is open, The question is, do they have a pure motive for wanting that to happen? This is where they show that they are very thirsty for control of Bitcoin's investor holders. When I read such news about the intentions of the US government, it's shocking.

They are doing everything to control Bitcoin, even though we know and they know very well that it will never happen. They will decentralize Bitcoin first before what they want happens.

[Moreno233]

I think what the US government want to achieve is total control of all activities relating to Bitcoin. They want to know who gets what, who is doing what and all players in Bitcoin.  This reinforces the fact that the fight for economic power and dominance is real and anything that might shift that power away from them is a threat. I feel they might have tried through the regulated exchanges and got results they are not impressed with because self custodian wallets still exist. Do not be surprise if they decided to heap allegations on miners just as they did with mixers.

[Pmalek]

Does taxation only apply to crypto mining companies? Or home mining as well? I fail to see how the US will be able to tax someone mining at their basement.

I am not from the US, so I don't know anything about the regulations regarding mining bitcoin for private entities. But I am pretty sure that it's your responsibility to report to the IRS any income that you receive or generate. Bitcoin falls into one such category that you have to report. If you don't do it, maybe nothing will happen and nobody will find out. It's like failing to report any other taxes. Maybe the IRS won't notice or maybe they will and you will be facing penalties and possibly jail time.

One miner could go unnoticed. Having your whole basement equipped with ASICs will probably raise some alarms about what you are spending your electricity on and why your bills are so high. You could get raided if the authorities mistaken your home for a marihuana lab.   

[crusher72]

If the US government ever makes a move against miners in this way, miners should stand up and refuse to comply with these terms. As previous posters have mention that mining companies already pay taxes and regulation costs etc

There is no need for a registry? Its getting out of hand when your own GOV wants a list of people doing "specific activities". Doesn't matter what they are or what peoples opinion of those said activities are. The question is, where does your rights TRULY end, and where does the governments begin?

Just like flagging segwit when it was first launched miners had to vote on it by accepting it or not. If this ever comes, as a miner its your duty to just reject it on face.

[Pmalek]

The question is, where does your rights TRULY end, and where does the governments begin?

I watched a short clip of a guy the other day who was talking about human rights and freedom in the United States. He said something that stuck in my mind. He said that your freedom to say or do what you want to depends on how insignificant you are. Think about that for a second. If you are insignificant and don't matter, and you aren't bothering those in power who don't want to be bothered, you have the freedom to do what you want. If you grow an audience that listens to you, you only have an illusion of freedom and you can no longer say or do what you want without consequences.

Any business is run under the same illusion. If it's not bothering those in power, they let it be. If it becomes powerful itself or starts pointing to the wrongdoings of others, action is taken to stop it or minimize its influence.   

[BlackHatCoiner]

There is no such thing as crypto-friendly politicians on a large scale. Politicians represent the interest of private businesses, big tech, pharma, etc., and these giants aren't interested and don't need bitcoin or crypto.

I think you disregard the fact that cryptocurrencies are part of big tech. It is in the interest of each individual separately to take a slice of the cake. We often hear from companies that they're planning to invest, and this year, we even had an ETF approved. I'm not in favor of "IOU-bitcoin", but that's a sign that it's being incorporated in the private sector. It may not take long until the (new) people in power are Bitcoin owners, and want to take it to the next level (e.g., officially recognizing it as whatever).

[franky1]

we even had an ETF approved. I'm not in favor of "IOU-bitcoin", but that's a sign that it's being incorporated in the private sector. It may not take long until the (new) people in power are Bitcoin owners, and want to take it to the next level (e.g., officially recognizing it as whatever).

funny thing.. ETF are not even IOU bitcoin. there is no ownership claim current or future when buying shares..
funny thing is your prefered subnetwork you promote is about swapping future ownership. thus is IOU-bitcoin

anyways
this topics mentions of the survey and this

Any business is run under the same illusion. If it's not bothering those in power, they let it be. If it becomes powerful itself or starts pointing to the wrongdoings of others, action is taken to stop it or minimize its influence.  

bitcoin isnt going away.. so "can" lead down a dark path where the next stage could be
FERC getting involved with regulating what miners should be used in america(energy efficiency rating like kitchen refrigerators/washers),
and EPA getting involved in location regulations depending on local/national grid demands on fosil powered plants in certain regions
and NERC getting involved in location regulations limiting how many devices are operating on local circuits to avoid neighbourhood surges and brownouts
and DoE getting involved in creating regulations of identifying and requiring registration of mining for flimsy excuses of preventing energy theft, environment impacts and social disorder caused by excess use above capacity plus more then just all of the above

im not saying all this will play out. but its worth keeping an eye out and expect it might/could happen

[BenCodie]

the Biden Administration announced an emergency data collection initiative targeted at bitcoin mining operations in the US via the US Energy Information Administration, an "independent" sub-agency of the Department of Energy. It seems that the Biden Administration is identifying the electricity usage of the bitcoin mining industry as an emergency that is threatening grid stability throughout the US, as is evidenced by the name of the survey; "Proposed Emergency Survey - Cryptocurrency Mining Facilities."

"Emergency" - LOL!
What do they even consider an emergency? Are the US now running out of power and is Bitcoin to blame for it? Highly unlikely to be the case....

Here are a few interesting points from the article:

- They require that all mining facilities respond and fill out the survey as it's required by law.
- The companies need to submit their addresses and points of contact.
- The companies must state if they are mining Proof-of-Stake or Proof-of-Work coins. We all know this is bullshit, as Bitcoin is the target here.
- The companies need to state how many facilities they have in the US and provide precise coordinates.
- Mining companies must state the number of miners, their models, and the number of produced hashrate.
- EIA also requires information about how much electricity is being consumed.
- They need to name their electricity service providers.

All the information that they need to be able to strike and seize the existing bitcoin and the mining hardware. Any miner in the US should be focusing on getting the f×ck out instead of filling in that survey. That survey seems like a one way ticket to their doom.

Or, maybe they'll just print money to try and buy existing operations out, and if they don't comply, then play dirty...if history is any indicator, that's the motive that must surely be behind this "emergency survey".

Let us hope these people are not trying to come up with something.

You can sure count on it!

2024 presents...
USA & The War On Bitcoin

Just like the war on drugs, where the US seized, manufactured and redistributed drugs for profit...the US will seize miners, manufacture bitcoin through those seized miners and then redistribute those bitcoins for profit!

If they find enough hashpower to seize (or tax) they will probably hit the reset button on their holdings, sell it all off on-market, wipe out as many miners as possible to make mining as non-profitable as possible, and take over close-to the entire US mining operation.

Any of the above should not be surprising, the US cartel has been doing this kind of shady shit for decades!

This is my take though franky1 might either be onto the more realistic potential outcome of this survey or what will happen after my dystopian thought quoted above

Any business is run under the same illusion. If it's not bothering those in power, they let it be. If it becomes powerful itself or starts pointing to the wrongdoings of others, action is taken to stop it or minimize its influence.  

bitcoin isnt going away.. so "can" lead down a dark path where the next stage could be
FERC getting involved with regulating what miners should be used in america(energy efficiency rating like kitchen refrigerators/washers),
and EPA getting involved in location regulations depending on local/national grid demands on fosil powered plants in certain regions
and NERC getting involved in location regulations limiting how many devices are operating on local circuits to avoid neighbourhood surges and brownouts
and DoE getting involved in creating regulations of identifying and requiring registration of mining for flimsy excuses of preventing energy theft, environment impacts and social disorder caused by excess use above capacity plus more then just all of the above

im not saying all this will play out. but its worth keeping an eye out and expect it might/could happen

[franky1]

i wouldnt call it a war on bitcoin. id call it a WALL on bitcoin

creating barriers of entry is more about giving those with money, position, prestige a higher level of success and ease compared to the normal guy, its like artificially causing demand for the prestigious offering while making the start up look bad.

take anything..
you cant open a shop these days by just putting a sign outside your house. you need to buy liability insurance for any patrons. you need to get planning permission for any signage at the front of building, you need to change the purpose of the building from residential to business. then you have to pay some business tax to local government. you need to then build a business plan and submit it to a bank to get a business bank account. and so on and so on

its not a war on commerce, its just setting min standards to create a barrier of entry that benefit those that are ahead of the game instead of those starting out..

even farming. the EPA wants inspections, food standards, the list goes on.
making the family farm unsuccessful while bringing profits for the industrial farm

making the hobby miner unprofitable while the asic farm that meets the grade be successful
one prime example is things like carbon credits and income tax/cap gains

small independent asic users on a pools running from their home garage using grid electric they have no special contracts with vs a industrial asic farm that has all the most efficient asics in the most cheapest electric thats hydro power contracted thus not costing them carbon credits.. being big enough to afford an accountant that can avoid tax of cap gains.. will win compared to a hobby miner

so when governments are getting audited accounts from a asic farm paying after deductions just 2% tax legally. the hobby miner self-assessing paying upto 40%. the government will want to chase the small guy that avoids filing. so they may want to know all miners on the network to chase tax evaders

its the same game for many industries
so i dont see it as war.. more like a wall(barrier of entry) to benefit the privileged

if wall street sees citizens owning bitcoin direct as a competition to their hopes citizens buy their pension pot shares. then they will lobby for regulations that make barriers of entry for direct btc ownership by independent citizens

[Pmalek]

I think you disregard the fact that cryptocurrencies are part of big tech. It is in the interest of each individual separately to take a slice of the cake.

Oh, they want to profit from it alright. I have no doubts about that. What I have doubts about is how happy they are to see you and me profit from it. We are the ones who are going to be put under scrutiny and investigated for money laundering and financing terrorism, not them.

It may not take long until the (new) people in power are Bitcoin owners, and want to take it to the next level (e.g., officially recognizing it as whatever).

If it comes to that, we will have two classes of bitcoin. KYC and AML-compliant bitcoin coming out of government-approved services, and the "dirty bitcoin" that people earn of the books and keep in non-custodial wallets they can't put their paws on.

[Bellarg]

I think that they just want to know everything about citizens. At least i hope that they are not gonna seize them

[BlackHatCoiner]

Oh, they want to profit from it alright. I have no doubts about that. What I have doubts about is how happy they are to see you and me profit from it. We are the ones who are going to be put under scrutiny and investigated for money laundering and financing terrorism, not them.

I agree, but this is another discussion. Just as with the current system, the oligarchs who finance these crimes are practically untouchable, and we, the "small players" if you allow me, are doomed to be in scrutiny, investigation, and all that just because we evaded a scanty tax. However, I was answering to why it is rationale to assume there will be more big players over the course of time.

If it comes to that, we will have two classes of bitcoin. KYC and AML-compliant bitcoin coming out of government-approved services, and the "dirty bitcoin" that people earn of the books and keep in non-custodial wallets they can't put their paws on.

Sounds like a big part of the pie will be outside the government's control. Maybe that's not completely in favor of them. Needless to say that universal "taint" is another level of inaccurate bullshit.

[barto123]

you have to zoom out WEF and beyond, they want everything tracked and traced - down to every living thing. they are literally coming from your soul

if you want to mine - you should solo mine or support non-kyc pool. botcoytt the NWO/agenda 2030. it's a scam, to control and eliminate the population. sounds ridiculous until you look into it. you mentioned war. that is a globalist too to control, eliminate, & profit.

at some point, people have to remember what is right, not what is law. stop complying with psychopaths who want you to own nothing and be "happy".

personally i will never stop mining, running a node, having self-custody of my keys. I'm not filing out any forms because it's the right thing to do.

[Pmalek]

The newest reports are now suggesting that the Biden administration is cancelling the data collection survey that the government and the EIA planned on US bitcoin miners. They will also destroy all data they have collected so far (if you believe them). That's not the end of the story, though. The collection process may still happen, but first there will be a public notice and comments. 

The Texas Blockchain Council initiated a lawsuit against the data collection, which was one of the reasons the government stopped it.

Sources:
https://twitter.com/BitcoinPierre/status/1763631462484414884
https://twitter.com/WatcherGuru/status/1763659012929622217