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State of Arkansas Approves Bill to Protect Bitcoin Miners
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State of Arkansas Approves Bill to Protect Bitcoin Miners

The Arkansas House of Representatives and Senate have passed a bill aimed at regulating bitcoin mining activity. The "right to mine" bill is now approved by the governor's office, and is effectively a law.
Alex Lari
By: Alex Lari
Apr 20, 2023
3 min read
State of Arkansas Approves Bill to Protect Bitcoin Miners

The Arkansas House of Representatives and Senate have passed a bill aimed at regulating bitcoin mining activity. The “right to mine” bill is now approved by the governor’s office, and is effectively a law. 

The Arkansas Data Centers Act of 2023 seeks to regulate the bitcoin mining industry in Arkansas by establishing guidelines for miners and safeguarding them against discriminatory regulations and taxes, as stated in the bill.

Senator Joshua Bryant proposed the bill on March 30, and it was swiftly passed by Arkansas’ state legislators. The document acknowledges the positive economic impact of bitcoin mining industries in local communities, stating that they generate employment opportunities, contribute to tax revenue, and provide overall economic value.

The approved bill mandates that a bitcoin mining business must pay relevant taxes and government fees while operating in a manner that does not strain public electric utilities’ generation capabilities or the transmission network.

The legislation grants bitcoin miners the same rights as data centers, specifying that Arkansas’ government should not impose any distinct requirement for a bitcoin mining business that is not applicable to data centers, as stated in the bill.

In line with a similar effort in Montana, Arkansas has taken action to recognize the bitcoin mining industry. The Montana Senate passed a bill in late March aimed at safeguarding bitcoin miners operating within the state. The bill’s objective is to protect miners from taxes levied on the digital money used for payments and abolish energy rates that discriminate against home-based bitcoin miners.

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