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Biden Administration Proposes A 30% Excise Tax On Bitcoin Miners

Biden Administration Proposes A 30% Excise Tax On Bitcoin Miners

Mar 11, 2024
Marty's Ƀent

Biden Administration Proposes A 30% Excise Tax On Bitcoin Miners

If you sleuth through the Biden administration's General Explanations of the Administration's Fiscal Year 2025 Revenue Proposals document you'll find that on page 72 of the 238 page report that the administration is proposing a 30% excise tax on bitcoin mining operations. The justification for this egregious discriminatory tax is that the increase in energy consumption attributable to the growth of the bitcoin mining industry in the United States "has negative environmental effects and can have environmental justice implications as well as increase energy prices for those that share an electricity grid with digital asset miners." As our friend Pierre Rochard points out, the justifications for this excise tax are completely pretextual. The Biden administration, screeching zealots like Elizabeth Warren, and a weaponized Department of Energy have decided to run with the narrative that bitcoin mining is a detriment to grids, the environment, and electricity prices without actually looking at publicly available data that provides evidence that the exact opposite is true.

We've been over these facts many times throughout the years in this here rag, but they cannot be repeated too much. Bitcoin mining is a mechanism that is paving the way for an abundant cheap energy future. Power generators, grid operators and utilities companies have a lot of wasted electricity across their supply chain that prevents them from being as profitable as possible. Bitcoin miners, who are driven by the economic incentive of low electricity prices that present themselves in the form of wasted electricity throughout the supply chain of electricity, act as a demand source to provide more revenue to these economic actors by purchasing their excess electricity at different parts of the supply chain. By providing this additional stable revenue stream to these actors, bitcoin miners are enabling these actors to reinvest in power generation and transmission, which leads to a larger supply of energy and better pricing for end consumers. Bitcoin mining is incredibly dynamic due to the fact that it can monetize energy at the source of where it is generated. This means that bitcoin miners can also monetize stranded energy, like natural gas that isn't connected to delivery pipelines or nuclear facilities, solar and wind farms waiting for transmission lines. Making everyone involved more economically stable.

It is important to understand what Pierre highlights in his tweet, the Biden administration and its allies throughout the federal government do not actually care about the facts. They are intentionally ignoring them because they get in the way of the ultimate goal; suppress bitcoin and make it as hard as possible for American citizens to leverage the most liberating network humanity has ever come into contact with so that they can usher in a CBDC to usher people into a tightly controlled digital panopticon in the wake of the crumbling of the incumbent monetary and financial systems as well as the loss in confidence in the institution of the federal government itself. When those in power recognize that they are losing the narrative and their grip on power they react by attempting to prevent people from the exits. And make no mistake, bitcoin is the largest exit door any individual has ever had access to. Bitcoin protects individuals from theft via inflation. Bitcoin protects people from censorious regimes who like to control who can and cannot have access to their money. Bitcoin protects people from the risks associated with power generation. Bitcoin protects people in areas of their lives that the federal government is openly and aggressively attacking and the attacker does not like that. Not one bit.

The answer to this excise tax should be a renowned "Fuck you. Leave me alone. You are embarrassingly off base and operating from the pretext of a fictional reality you conjured out of thin air." Ridicule these people mercilessly. Do not give them an inch. Their attempts to discriminate and prevent individuals from accessing the most potent enabler of Liberty since the Internet will be mocked in posterity, but we shouldn't waste any time. Mock them today too.

If you're interested in learning more about the pretextual nature of this administration's attacks on the bitcoin mining industry in the United States, I highly recommend you check out the episode of TFTC I recorded with Pierre and published last Friday. He does an incredible job of completely dismantling the sloppiness of the federal government as they attempt to force miners out of the country.

We're winning and they do not like it. I don't know about you freaks, but the fact that they don't like it makes me extremely happy.

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