Legislative Proposal, Bill or Resolution, Policies or Program, Regulation
Speaking with elected officials and government bureaucrats about bitcoin mining as it relates to taxation. Specifically, the Government of Canada proposed amendments to the Excise Tax Act, in February 2022, which will increase the cost of conducting digital asset mining operation in Canada (i.e. computer and IT technology, energy costs, professional and consulting fees) by five to fifteen percent (5% - 15%) significantly impacting our operations. Our primary focus, working with a coalition, has been to educate public officials and encourage consultation on a new and rapidly evolving industry so that they can effectively take cryptocurrency mining into consideration when prescribing tax policies.
Legislative Proposal, Bill or Resolution, Regulation
We are supportive of Bill C-249 as it proposes to set up a framework to study the industry as a precursor to determining what, if any, regulation is required. Our work has been focused on educating officials and bureaucrats on the benefit of such a framework and the significance of the global cryptocurrency and digital asset mining climate.
Policies or Program, Regulation
Speaking with elected officials and government bureaucrats about bitcoin mining as it relates to energy use. At this time, Hut 8 does not have specific policy aims related to energy use; rather, our primary focus has been to educate public officials and encourage further consultation on a new and rapidly evolving industry so that they can effectively take blockchain technologies into consideration when prescribing policies and maximize economic benefit to Canada.