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A milestone environmental measure designed to curb the spread of cryptocurrency mining operations that burn fossil fuels in New York has passed the state legislature.

The bill, which was approved and closely watched by the state Senate earlier on Friday, will establish a two-year moratorium on new and renewed air permits for fossil fuel power plants used for energy-intensive “proof-of-work” crypto mining. Proof-of-work is the blockchain-based algorithm used by bitcoin and some other cryptocurrencies.

The bill, touted as the first of its kind by supporters, now goes to Democratic Government Kathy Hochul for consideration. The governor said he wants to make sure any legislation balances economic and environmental concerns.

Environmentalists lobbying for the bill said natural gas-burning power plants used for crypto mining operations threatened the state’s ability to meet long-term climate targets.

“Governor Hochul’s signing of this law sends a signal that New York state is serious about meeting climate requirements. Earthjustice’s Liz Moran demonstrates that we cannot repower fossil fuel power plants for private gain in New York, especially when we want to move away from fossil fuels altogether.”

Moran said there are potentially dozens of fossil fuel plants in New York that could be converted to mining operations.

Supporters of the cryptocurrency industry said the measure would stifle economic development in New York. Blockchain Association, an industry group, said it would facilitate the relocation of mining operations to other states.

A coalition of environmental groups is also urging the Hochul administration to reject the renewal of air permits for the Greenidge Generation in the Finger Lakes, which also generates power for the state’s power grid. A decision can be made at the end of the month.

If this measure becomes law, it will not affect pending applications such as those from Greenidge.

The measure will also require the State Department of Environmental Protection to conduct an environmental impact assessment of how crypto mining impacts the state’s ability to meet climate targets.