- The Clean Cloud Act will add CO? penalties for data centers using a lot of energy for AI and crypto.
- Countries like Pakistan are using extra electricity to help Bitcoin mining and AI growth.
U.S. lawmakers have made a new bill to address the energy use of AI and crypto activities. The bill is called the Clean Cloud Act and was created by Senators Sheldon Whitehouse and John Fetterman.
This bill wants to limit the energy use of data centers by making them follow stricter carbon emission rules.
What happens if the bill passes?
If it passes, the Environmental Protection Agency (EPA) can give CO? penalties to places that use more energy than allowed.
Senator Fetterman said, “We can use AI technology and protect our environment at the same time.”
Senator Whitehouse added that these energy-hungry centers are making electricity more expensive for everyone.
How do people feel about the bill?
Many in the crypto community do not support the bill. VanEck’s Research Chief, Matthew Sigel, thinks it unfairly targets Bitcoin miners.
A user on X said, “This bill might not pass, and it’s unlikely it will be enforced.”
Challenges ahead
The Clean Cloud Act needs Senate approval, but some people are unsure about it. Some think it might be more relevant now because of previous efforts to make the U.S. strong in AI and crypto.
In the U.S., the costs for Bitcoin mining equipment are rising, which makes some people worried about reducing demand here. Meanwhile, Pakistan is using extra electricity to support Bitcoin mining.
Vocabulary List:
- Penalties /ˈpen.əl.tiz/ (noun): Punishments imposed for breaking a rule or law.
- Emission /ɪˈmɪʃ.ən/ (noun): The production and discharge of something usually gas or radiation.
- Regulations /ˌrɛɡ.jʊˈleɪ.ʃənz/ (noun): Rules or directives made and maintained by an authority.
- Electrifying /ɪˈlɛk.trɪ.faɪ.ɪŋ/ (adjective): Causing great excitement or enthusiasm.
- Community /kəˈmjuː.nɪ.ti/ (noun): A group of people living in the same place or having a particular characteristic in common.
- Demand /dɪˈmænd/ (noun): The desire of consumers for a particular good or service.
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