II 

117TH CONGRESS 

2D SESSION S. 5210 

To require an interagency study on the environmental and energy impacts 

of crypto-asset mining, to assess crypto-asset mining compliance with 

the Clean Air Act, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

DECEMBER 7, 2022 

Mr. MARKEY (for himself and Mr. MERKLEY) introduced the following bill; 

which was read twice and referred to the Committee on Environment and 

Public Works 

A BILL 

To require an interagency study on the environmental and 

energy impacts of crypto-asset mining, to assess cryptoasset mining compliance with the Clean Air Act, and 

for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Crypto-Asset Environ5 mental Transparency Act of 2022’’. 

6 SEC. 2. FINDINGS. 

7 Congress finds that— 


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1 (1) human activity is the dominant cause of ob2 served climate change in the past century; 

3 (2) climate change is increasing the frequency 

4 and intensity of wildfires, droughts, severe storms, 

5 heat waves, rising of sea levels, and severe weather 

6 events; 

7 (3) the Federal Government has— 

8 (A) committed under the decision of the 

9 21st Conference of Parties of the United Na10 tions Framework Convention on Climate 

11 Change, adopted in Paris, France, December 

12 12, 2015 (commonly referred to as the ‘‘Paris 

13 Agreement’’), to reduce greenhouse gas emis14 sions by 50 to 52 percent by 2030; and 

15 (B) a responsibility to mitigate current and 

16 future impacts of climate change to protect the 

17 health, safety, and welfare of individuals of the 

18 United States; 

19 (4) crypto-asset mining operations— 

20 (A) can be energy intensive; and 

21 (B) unlike most other technologies, are 

22 often designed to generally increase computing 

23 requirements over time, which can lead to in24 creased energy consumption; 


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1 (5) a crypto-asset network, Bitcoin, consumes 

2 more energy annually than countries such as Chile 

3 or Bangladesh consume; 

4 (6) crypto-asset mining operations often rely on 

5 fossil fuels for power, which contributes to green6 house gas emissions; 

7 (7) the carbon dioxide emissions of the United 

8 States from Bitcoin mining were estimated at 21 to 

9 35 megatons per year in 2022, which is equivalent 

10 to the annual emissions from more than 4,500,000 

11 to 7,500,000 gasoline-powered cars driven for 1 

12 year; 

13 (8) crypto-asset mining can also cause local 

14 noise and water pollution; 

15 (9) the number of crypto-asset mining facilities 

16 in the United States is increasing, and the share of 

17 the United States of global Bitcoin mining rose from 

18 3.5 percent in 2020 to 38 percent in 2022; 

19 (10) crypto-asset mining is an emergent indus20 try, and the potential of crypto-asset mining to exac21 erbate systemic racial, social, environmental, and 

22 economic injustices is not sufficiently understood; 

23 (11) there is no comprehensive, independent 

24 study of crypto-asset mining operations in the 

25 United States, including the energy use, resource 


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1 mix, and greenhouse gas emissions of those crypto2 asset mining operations; and 

3 (12) one of the primary recommendations of the 

4 report of the Office of Science and Technology Pol5 icy entitled ‘‘Climate and Energy Implications of 

6 Crypto-Assets in the United States’’ and dated Sep7 tember 2022 was to obtain detailed data on energy 

8 use and emissions from crypto-asset activity. 

9 SEC. 3. DEFINITIONS. 

10 In this Act: 

11 (1) ADMINISTRATOR.—The term ‘‘Adminis12 trator’’ means the Administrator of the Environ13 mental Protection Agency. 

14 (2) AIR POLLUTANT.—The term ‘‘air pollutant’’ 

15 has the meaning given the term in section 302 of the 

16 Clean Air Act (42 U.S.C. 7602). 

17 (3) BLOCK.—The term ‘‘block’’ means a group 

18 of data stored as a single record in a blockchain. 

19 (4) BLOCKCHAIN.—The term ‘‘blockchain’’ 

20 means a distributed ledger technology in which— 

21 (A) the data are shared across a network 

22 that creates a digital ledger of verified trans23 actions or information among network partici24 pants; and 


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1 (B) the data are typically linked using 

2 cryptography to maintain the integrity of the 

3 ledger and execute other functions, including 

4 transfer of ownership or value. 

5 (5) CONSENSUS MECHANISM.—The term ‘‘con6 sensus mechanism’’ means a process to achieve 

7 agreement among network participants on the cur8 rent state of a blockchain. 

9 (6) CRYPTO-ASSET.—The term ‘‘crypto-asset’’ 

10 means a digital asset, which may be a medium of ex11 change, a representation of value, or both, for which 

12 generation or ownership records of the digital asset 

13 are recorded in a distributed ledger technology that 

14 relies on cryptography. 

15 (7) CRYPTO-ASSET MINING.—The term ‘‘crypto16 asset mining’’ means the process of performing com17 putations to add a valid block of data to the 

18 blockchain, typically in exchange for a reward or fee. 

19 (8) POWER LOAD.—The term ‘‘power load’’ 

20 means the amount of electrical power, in megawatts, 

21 that can be consumed by a qualifying crypto-asset 

22 mining operation. 

23 (9) QUALIFYING CRYPTO-ASSET MINING OPER24 ATION.—The term ‘‘qualifying crypto-asset mining 

25 operation’’ means— 


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1 (A) an individual crypto-asset mining facil2 ity that has a power load that is greater than 

3 or equal to 5 megawatts; or 

4 (B) multiple crypto-asset mining facilities 

5 that— 

6 (i) are owned by the same company; 

7 and 

8 (ii)(I) each have a power load that is 

9 less than 5 megawatts; but 

10 (II) have a cumulative power load 

11 that is greater than or equal to 5 

12 megawatts. 

13 (10) SCOPE 1 EMISSIONS.—The term ‘‘scope 1 

14 emissions’’ means greenhouse gas emissions directly 

15 from sources that are operated, controlled, or owned 

16 by an individual or entity performing a qualifying 

17 crypto-asset mining operation. 

18 (11) SCOPE 2 EMISSIONS.—The term ‘‘scope 2 

19 emissions’’ means indirect greenhouse gas emissions 

20 associated with the purchase of electricity, steam, 

21 heat, or cooling by an individual or entity per22 forming a qualifying crypto-asset mining operation. 

23 (12) SECRETARY.—The term ‘‘Secretary’’ 

24 means the Secretary of Energy. 


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1 SEC. 4. COMPLIANCE WITH THE CLEAN AIR ACT. 

2 (a) RULEMAKING REQUIRED.— 

3 (1) PROPOSED REGULATION.—Not later than 1 

4 year after the date of enactment of this Act, the Ad5 ministrator shall issue a notice of proposed rule6 making to revise part 98 of title 40, Code of Federal 

7 Regulations (as in effect on the date of enactment 

8 of this Act)— 

9 (A) to require qualifying crypto-asset min10 ing operations to report as covered facilities 

11 under subpart A of that part; 

12 (B) to add a new subpart to that part that 

13 includes qualifying crypto-asset mining oper14 ations as a source category; 

15 (C) to include in the new subpart created 

16 under subparagraph (B) appropriate calculation 

17 methodologies, reporting guidelines, and moni18 toring operations of, with respect to qualifying 

19 crypto-asset mining operations, scope 1 emis20 sions and scope 2 emissions; and 

21 (D) to designate the qualifying crypto22 asset mining operations source category estab23 lished pursuant to subparagraph (B) as a 

24 source category that is subject to greenhouse 

25 gas reporting requirements and related moni26 toring, recordkeeping, and reporting requireVerDate Sep 11 2014 23:12 Dec 10, 2022 Jkt 039200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\S5210.IS S5210

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1 ments under section 98.2 of that title, regard2 less of whether a qualifying crypto-asset mining 

3 operation emits at least 25,000 metric tons of 

4 carbon dioxide-equivalent. 

5 (2) FINAL RULE.—Not later than 180 days 

6 after the date on which the public comment period 

7 on the proposed rule under paragraph (1) closes, the 

8 Administrator shall issue a final rule revising part 

9 98 of title 40, Code of Federal Regulations. 

10 (b) ASSESSMENT.—Not later than 1 year after the 

11 date on which the Administrator finalizes the rule required 

12 under subsection (a), the Administrator shall, pursuant to 

13 section 114(a) of the Clean Air Act (42 U.S.C. 7414(a)), 

14 issue requests for information for the purpose of con15 ducting an assessment of, with respect to qualifying 

16 crypto-asset mining operations, the permit programs 

17 under the Clean Air Act (42 U.S.C. 7401 et seq.), which 

18 shall include identifying the extent to which any qualifying 

19 crypto-asset mining operations are improperly operating 

20 without a valid and current permit under that Act. 

21 (c) AUTHORIZATION OF APPROPRIATIONS.—There is 

22 authorized to be appropriated to the Administrator to 

23 carry out this section $5,000,000 for fiscal year 2023, to 

24 remain available until expended. 


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1 (d) SAVINGS PROVISION.—Nothing in this section 

2 limits the ability of the Administrator to require the re3 porting of emissions of any type in another source cat4 egory. 

5 SEC. 5. IMPACT STUDY. 

6 (a) IN GENERAL.—Not later than 1 year after the 

7 date of enactment of this Act, the Administrator, in con8 sultation with the Secretary, the Administrator of the En9 ergy Information Administration, the Federal Energy 

10 Regulatory Commission, and the head of any other Fed11 eral agency the Administrator or the Secretary determines 

12 appropriate, shall conduct a study on the environmental 

13 impacts of crypto-asset mining in the United States. 

14 (b) STUDY REQUIREMENTS.—The study required 

15 under subsection (a) shall include— 

16 (1) the number and location of any existing or 

17 planned qualifying crypto-asset mining operation; 

18 (2) the amount of greenhouse gas emissions 

19 and other air pollutants that are— 

20 (A) released by an onsite energy source; 

21 and 

22 (B) attributable to offsite-generated elec23 tricity, steam, heat, or cooling provided to a 

24 qualifying crypto-asset mining operation; 


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1 (3) the anticipated increase of new, and expan2 sion of existing, qualifying crypto-asset mining oper3 ations; 

4 (4) the potential impacts of electric energy con5 sumption by qualifying crypto-asset mining oper6 ations, including by prolonging the use of fossil fuel 

7 generators, on the ability of the United States to 

8 achieve the greenhouse gas emission reductions nec9 essary to keep global warming below 1.5 degrees 

10 Celsius compared to pre-industrial levels; 

11 (5) the ecological impacts, including ecological 

12 impacts associated with electronic waste generation 

13 and the use or discharge of cooling water, caused by 

14 qualifying crypto-asset mining operations; 

15 (6) the potential public health impacts due to 

16 the reduced air and water quality and increased 

17 water stress on communities near qualifying crypto18 asset mining operations; 

19 (7) the potential public health impacts from 

20 greenhouse gas emissions released by qualifying 

21 crypto-asset mining operations; 

22 (8) the potential public health and ecological 

23 impacts from noise generated by qualifying crypto24 asset mining operations; 


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1 (9) the amount of electric energy consumed by 

2 each qualifying crypto-asset mining operation, in3 cluding the time of use of electricity and the poten4 tial grid stress posed by the power load of the quali5 fying crypto-asset mining operation; 

6 (10) the source of electric energy consumed by 

7 each qualifying crypto-asset mining operation; 

8 (11) the aggregated energy-use statistics and 

9 greenhouse gas emissions statistics for qualifying 

10 crypto-asset mining operations in the United States; 

11 (12) an analysis of energy use and greenhouse 

12 gas emissions by type of consensus mechanism; 

13 (13) an analysis of demand-response programs 

14 negotiated between qualifying crypto-asset mining 

15 operations and electric utilities; 

16 (14) an analysis of potential rate-design meas17 ures that could be implemented by State and local 

18 regulators to reduce the energy consumption and de19 pendence on fossil fuel energy sources of crypto20 asset mining operations; 

21 (15) a geospatial assessment of the extent to 

22 which crypto-asset mining operations are located 

23 within environmental justice communities, as defined 

24 by the Administrator or within the Climate and EcoVerDate Sep 11 2014 23:12 Dec 10, 2022 Jkt 039200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\S5210.IS S5210

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1 nomic Justice Screening Tool of the Council on En2 vironmental Quality; and 

3 (16) an identification of, and recommendations 

4 for, best practices for data types, data sources, and 

5 methodologies for accurately measuring, modeling, 

6 and tracking the environmental impacts of crypto7 asset mining operations in the United States in the 

8 future. 

9 (c) PUBLIC COMMENT.—Before conducting the study 

10 required by subsection (a), the Administrator shall provide 

11 an opportunity for public comment and advice relevant to 

12 conducting the study. 

13 (d) REPORT TO CONGRESS.—Not later than 18 

14 months after the date of enactment of this Act, the Ad15 ministrator shall submit to the Committees on Energy and 

16 Commerce and Science, Space, and Technology of the 

17 House of Representatives and the Committees on Environ18 ment and Public Works and Energy and Natural Re19 sources of the Senate, and publish on the public websites 

20 of the Environmental Protection Agency and the Depart21 ment of Energy, a report that contains the results of the 

22 study required by subsection (a). 

23 (e) AUTHORIZATION OF APPROPRIATIONS.—There is 

24 authorized to be appropriated to the Administrator to 


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1 carry out this section $5,000,000 for fiscal year 2023, to 

2 remain available until expended. 

3 SEC. 6. ENERGY EFFICIENCY OF DATA CENTER BUILDINGS. 

4 Section 453(a)(1) of the Energy Independence and 

5 Security Act of 2007 (42 U.S.C. 17112(a)(1)) is amend6 ed— 

7 (1) in subparagraph (A), by striking ‘‘or’’ at 

8 the end after the semicolon; 

9 (2) in subparagraph (B), by striking the period 

10 at the end and inserting ‘‘; or’’; and 

11 (3) by adding at the end the following: 

12 ‘‘(C) a facility in which 2 or more com13 puters perform logical operations to mine or 

14 create crypto-asset (as defined in section 3 of 

15 the Crypto-Asset Environmental Transparency 

16 Act of 2022).’’. 

Æ 


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