US Lawmakers Propose New Crypto Bill for Data Centers and Crypto Mining Operations

Highlights:

• A new Senate bill will set emissions limits for large data centers and crypto miners based on regional power grids.
• Companies are facing rising costs if they exceed carbon targets, with penalties starting at twenty dollars per ton.
• Crypto miners are shifting to AI hosting to manage energy use and respond to falling prices and trade pressures.

Sheldon Whitehouse and John Fetterman have proposed a new bill that is targeting emissions from data centers and crypto mining operations. They introduced the Clean Cloud Act to mitigate the rapidly increasing energy requirements of these facilities.

The U.S. Senate proposes to impose emissions fees on high-energy-consuming data centers, which may affect Bitcoin mining companies

Democrats in the U.S. Senate have proposed a draft of the Clean Cloud Act, which would impose fees on data centers that support blockchain network…

— Bpay News (@bpaynews) April 12, 2025

The bill instructs the Environmental Protection Agency (EPA) to establish a performance standard that aims to reduce emissions by 11% each year. Facilities that exceed the allowed levels would face a penalty beginning at $20 per ton of carbon dioxide equivalent (CO2e). This fee would rise yearly, increasing with inflation and an additional $10. The crypto bill also includes a structure to account for indirect grid emissions, which would prevent crypto miners and data centers from relying solely on existing clean power sources.

Some of the revenue raised by the fees would be used to assist families in covering their electricity bills. In addition, the remaining funds would be mostly distributed to investments in clean energy and storage solutions. The move would cut the use of fossil fuels and make the grid more stable. Bill supporters argue that having those costs on energy-heavy industries will offset the strain on power systems and reduce electricity prices for households over time.

Industry Reactions and Concerns Over Energy Use

The bill has drawn mixed responses from different sectors. According to a post on the U.S. Senate Committee on Environment and Public Works website, power demand from data centers and crypto miners is growing faster than carbon-free electricity sources. Data centers alone use about 4% of the country’s electricity. Moreover, they could consume as much as 12% by 2028. In certain cases, retired coal plants have been reactivated to contribute to these operations, causing worry about emissions.

According to Morgan Stanley research, global emissions from data centers may reach 2.5 billion metric tons by the end of the decade. In light of these figures, supporters of the Clean Cloud Act say that urgent action is needed to control the output of carbon. However, critics argue that the bill unfairly targets specific industries. Matthew Sigel, head of research at VanEck, called the measure a “losing ‘blame the server racks’ strategy” in a recent social media post.

Dems Double Down on Losing “Blame the Server Racks” Strategy.

New bill from Sens. Fetterman & Whitehouse would hit AI & crypto data centers with fees if they exceed regional emissions averages.

EPA & EIA would track energy use.

Proceeds to ratepayer relief & “clean” energy. pic.twitter.com/psXhlDDgl0

— matthew sigel, recovering CFA (@matthew_sigel) April 11, 2025

At the same time, there is disagreement on how this bill fits into broader federal goals. The proposal could conflict with the current administration’s direction under President Donald Trump. The president reversed an executive order that had set standards for artificial intelligence development. Trump has also stated his intention to make the U.S. a global leader in both AI and cryptocurrency.

Crypto Miners Shift Focus Toward AI Amid Rising Pressures

Several crypto mining companies have started adapting their business models in response to changing market conditions and policy shifts. Firms like Galaxy, CoreScientific, and Terawulf are moving into hosting infrastructure for artificial intelligence. By doing this, it enables them to harness existing high-performance computing setups and experiment with new revenue sources.