• Block Fusion, a cryptocurrency mining firm in Niagara Falls, New York is in the midst of a legal battle with the city over its license and operations.
• The city has implemented a two-year moratorium on crypto mining companies, and is looking to further extend this ban.
• Block Fusion has filed a lawsuit against the city alleging that the current zoning code changes are unlawful and are specifically designed to harm them.
Crypto Mining Firm In Legal Battle with Niagara Falls
A fight is brewing between a cryptocurrency mining firm in Niagara Falls, New York and city regulators. The company in question is called Block Fusion, and it’s been working for many years in an old industrial site on Frontier Avenue.
New York Crypto Moratorium
New York has not been a kind region to crypto companies. The state recently implemented a crypto mining moratorium that would prevent all mining companies from entering its borders and setting up shop there over the next two years if they do not operate fully on clean energy. There are now many individuals in the New York government working hard to expand the moratorium and have it last longer. New York’s attorney general Leticia James is also working hard to bring lawsuits against several crypto companies that allegedly took part in fraudulent activity.
Block Fusion Ceases Operations
William Rossi – the attorney hired to represent Block Fusion – says the company ceased all its operations last November given it was allegedly in violation of new industry zoning codes. However, since then, the company has filed an application with the city for an operating permit under the new regulations. Block Fusion alleges it has been following all the new forms of legislation, but the application has still not been acted upon. According to Rossi, the application should have been approved no later than 15 days after it was filed. He explained: It’s not my practice to show up unscheduled, but I would have expected a firm (hearing) date by now… It’s important to them to do this right. I would be willing to cooperate in any way possible.
Block Fusion Files Lawsuit Against City
Due to the inaction, Block Fusion has since filed a lawsuit against the city claiming that present zoning code changes are unlawful and designed specifically hurt companies like itself. It also said that it should be allowed to stay in operation while its application is being considered.. Rossi said: It’s not our intention (to have challenge law). If we could have opportunity demonstrate our compliance (with law), we would appreciate that..
Some Think City Is Unfairly Targeting Crypto Companies
Things Could Have Gone BetterRossi is not only person who thinks Block Fusion getting bad rap Former Falls City Council Chair John Spanbauer recently stated region needs do better job welcoming businesses like these help stimulate economy