REGULATION

Judge rules to terminate mining company's energy investigation, criticizing the U.S. Department of Energy for a hasty process.

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Judge rules to terminate mining company

U.S. District Judge Alan Albright issued a temporary restraining order on the 23rd, halting the U.S. Department of Energy's investigation into Bitcoin mining companies. He stated that the Department of Energy had skipped specific steps such as notification and comment periods, and deemed the investigation to be too hasty.

Bitcoin's 50% Surge Sparks Mining Frenzy, U.S. Department of Energy Requests Energy Reports from Mining Companies

Mining Companies Sue U.S. Department of Energy

The U.S. Department of Energy previously initiated a temporary investigation based on the significant increase in Bitcoin prices, leading to more mining activities, to measure the electricity consumption of local mining companies. These companies are required to provide detailed information on their energy usage for the next six months.

However, the Texas Blockchain Committee and mining company Riot Platforms have sued the Department of Energy, claiming that the investigation is a product of "sloppy government."

Both parties stated:

Mining companies are being forced to disclose sensitive data to the Department of Energy, causing irreparable harm, as the Department of Energy does not have the legal authority to request or collect this information.

Judge Rules to Terminate Energy Investigation on Mining Companies, Criticizing Government's Haste

According to a report from The Block, U.S. Texas Judge Alan Albright also criticized the Department of Energy, noting that the investigation was approved under the emergency clause of the Paperwork Reduction Act, which allows skipping certain steps, such as notification and comment periods.

However, the judge mentioned:

Emergency requests like this are only reasonable when agency heads determine that following normal procedures would likely result in public harm.

Department of Energy: Mining Companies Can Retrieve Data in Just 30 Minutes

In the initial allegations, Riot Platforms and the Texas Blockchain Committee both stated that this investigation would require a significant amount of employee time each month, but the Department of Energy claimed it would only take half an hour.

The judge also disagreed with the Department of Energy's claim:

To suggest that mining companies only need to spend 30 minutes on data retrieval per month is not only inaccurate but also misleading to a significant degree.

Lee Bratcher, Chairman of the Texas Blockchain Committee, stated that the judge's ruling confirms that the Department of Energy "did not follow regulations."

In response, the Energy Information Administration (EIA) under the Department of Energy stated that no fines will be imposed on companies that did not respond to the investigation by March 22, but declined to comment on further actions.