The Government of British Columbia has banned new cryptocurrency mining operations from connecting to the Canadian province’s electricity grid.
Officials in B.C. cite the need to protect power supplies for industries that drive job growth and public revenue as the reasons for the permanent ban.
The move in Canada’s third-most populous province is part of a broader legislative and regulatory overhaul that also places new limits on electricity use by data centres and artificial intelligence (A.I.) companies.
The B.C. government said the restrictions will help lessen strains on the power grid and ensure that industrial development throughout the province is powered by clean electricity sources.
Crypto mining operations that unlock digital assets such as Bitcoin (BTC) and Ethereum (ETH) often consume large amounts of electricity without creating many jobs or tax revenue.
By contrast, projects in the mining and energy sectors are seen as more beneficial to local economies as they create jobs and expand the tax base.
In addition to the crypto mining ban, B.C. is also capping electricity availability for A.I. and data centres, while launching a competitive bid process for future projects in 2026.
Detailed regulations will be introduced this November, with a competitive process to allocate electricity to future A.I. and data centre projects scheduled for January of next year.
Bitcoin is currently trading at $108,600 U.S.
