Texas Senator Ted Cruz proposes a bill that could incentivize Bitcoin mining by using waste gas as an energy source.
Senator Ted Cruz has introduced a bill aimed at encouraging Bitcoin miners to utilize waste gas as a power source. On April 1, Cruz announced the introduction of the “Facilitate Lower Atmospheric Released Emissions Act”, better known as the FLARE Act, in the U.S. Senate.

The stated goal is to make Texas “the number one place for Bitcoin mining” in the United States. The proposal quickly gained support from several industry players, including the advocacy group Digital Power Network and the mining company MARA Holdings.
According to MARA Holdings, implementing this law would not only reduce harmful emissions but also “unlock otherwise unused energy.”
The FLARE Act details
The bill proposes amending the U.S. Internal Revenue Code to provide incentives for companies—including Bitcoin miners—to “capture gas that would otherwise be flared or vented into the atmosphere and use it for value-added products.” If passed, the law would take effect for properties placed into service starting in 2026.
The proposal also includes a clause “prohibiting entities owned by China, Iran, North Korea, or Russia” operating in Texas from recovering costs in the same way as others. In essence, companies from these countries would not be eligible for the same incentives available to other businesses in the state.
Ted Cruz, a Republican senator in office since 2013, has frequently proposed legislation aligned with key figures in his party, including current U.S. President Donald Trump. In March, he introduced a bill to ban the Federal Reserve from issuing a central bank digital currency (CBDC) and disclosed owning up to $100,000 in bitcoin as of August 2024.
Texas is a strategic hub for the Bitcoin mining industry, hosting major companies like MARA Holdings, Riot Platforms, and CleanSpark, which are already operating in the state.