New York has become the first state to restrict cryptocurrency mining after Governor Kathy Hochul on 22 November signed a two-year moratorium, calling the move necessary to help protect the environment.

The new law, which took effect immediately, will prevent the reactivation of fossil-fuel power plants for off-the-grid cryptocurrency mining. Cryptocurrency miners earn digital cash by solving mathematical equations with computers that require large amounts of energy to power. Mining that taps into the electrical grid will still be legal.