Jonesborough Resident Urges Tennessee to Regulate Bitcoin Mining

Kevin Hendricks testified about the negative impacts of crypto mining facilities in the state.

Published on Feb. 6, 2026

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Jonesborough resident Kevin Hendricks appeared before the Tennessee Senate Health and Welfare Committee to urge state lawmakers to regulate bitcoin mining facilities. Hendricks testified about the immense electricity consumption, noise pollution, and lack of local economic benefits from these industrial data centers that have proliferated across East Tennessee.

Why it matters

Bitcoin mining operations have expanded rapidly in Tennessee due to the state's lax oversight and access to cheap electricity from the Tennessee Valley Authority. However, these facilities have drawn backlash from local residents concerned about their environmental and economic impacts on rural communities.

The details

Hendricks said bitcoin mining facilities consume massive amounts of electricity, comprising up to 2.3% of total U.S. electricity usage in 2024. The constant noise from the computer fans also creates pollution that disproportionately affects rural areas without noise ordinances. Hendricks argued these facilities don't bring many permanent jobs and the profits often go to remote owners rather than staying in Tennessee.

  • In 2021, a mining facility was constructed in Limestone, Tennessee, prompting pushback from residents.
  • Later in 2021, a proposed mining operation was shot down by opposition in Mountain City, Tennessee.
  • In 2022, the Hawkins County Commission passed legislation to ban bitcoin mining operations.

The players

Kevin Hendricks

A resident of Jonesborough, Tennessee who has become a political activist against bitcoin mining facilities in the state.

Rusty Crowe

The Republican state senator who chairs the Tennessee Senate Health and Welfare Committee.

Bobby Harshbarger

The Republican state senator who is a member of the Tennessee Senate Health and Welfare Committee.

CleanSpark

The owners of a proposed bitcoin mining operation in rural Johnson County, Tennessee that faced community opposition.

Tennessee Valley Authority

The federally-owned electric utility that provides cheap power that has attracted many bitcoin mining operations to Tennessee.

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What they’re saying

“In some cases, utilities have been very active with politicians. And without saying too much, I think it's going to take something on a statewide level to really reign in this industry.”

— Kevin Hendricks, Jonesborough Resident (Johnson City Press)

“They basically come here and use [our] resources. So it's really like a locust that comes in and attacks your corn crop.”

— Kevin Hendricks, Jonesborough Resident (Johnson City Press)

“I do think there needs to be a great deal more study and a great deal more thought by city, county and state elected officials regarding the regulation and operation of these businesses in our communities.”

— Rusty Crowe, State Senator (Johnson City Press)

What’s next

The Tennessee Senate Health and Welfare Committee plans to conduct further study and consideration of policies to regulate the energy consumption and operations of bitcoin mining facilities in the state.

The takeaway

Tennessee's lack of oversight and regulation has allowed a proliferation of energy-intensive bitcoin mining operations, particularly in rural areas, that are drawing backlash from local residents concerned about their environmental and economic impacts. Policymakers will need to balance the economic interests of the crypto industry with the needs of affected communities.