1 thought on “In the next step, the EU will ban Bitcoin mining?”

  1. Following the prohibition of virtual currency "mining" in China last year, the European Union regulatory agency is also calling for the prohibition of energy -intensive encrypted mining models.
    In the British "Financial Times" report, the EU's highest financial regulatory agency once again called for Bitcoin mining that banned the main model throughout the European Union. Erik Thedéen, vice chairman of the European Securities and Marketing Administration, said that Bitcoin mining has become a "national issue" in Sweden, and warns that cryptocurrencies constituted risks to achieve climate change goals in the Paris agreement.
    Thedéen said that the European regulatory agency should consider prohibiting the "POW" (workload certificate) mining model and promote the "POS" (equity certificate) model with lower energy consumption in the industry to reduce the industry’s industry’s Use a lot of electricity.

    The two cryptocurrencies Bitcoin and Ethereum are currently using POW mode, which requires all participants in the blockchain digital account book to verify the transaction. This model is the largest. The problem is huge energy consumption.
    It Bitcoin as an example, because Bitcoin generates a block every 10 minutes, and gives block producers a certain reward and transaction fee as an incentive, so the "miners" who want to get high returns use all calculations to use all calculations Smart resources, uninterrupted hash operations, which causes huge energy waste.
    The is said to have become a rich and competitive business, which has become a record level that has become a large profit and competitive business.
    Cambridge Bitcoin power consumption index shows that Bitcoin mining power consumption accounts for 0.6%of the global total energy consumption, and more electricity consumed each year than Norway.
    "The solution is to prohibit POW mode, and the energy consumption configuration of the POS mode is much lower," thedéen said. He is also the director of the Swedish Financial Services Administration and the sustainable financial chairman of the IOSCO of the International Organization.
    last November, the Swedish authorities proposed the idea of ​​prohibiting this approach for the first time, pointing out that more and more renewable energy was used for cryptocurrency mining, and at the same time, "the social benefits of encrypted assets are doubtful."
    If Swedish regulatory agencies quoted the estimation of Cambridge University, and also pointed out that the energy consumed by the mining of a unit of Bitcoin is equivalent to the energy consumed by 1.8 million kilometers of a medium -sized electric vehicle.
    Thedéen warned that if no intervention is performed, a large amount of renewable energy will be used for Bitcoin mining, instead of allowing the traditional service industry to stay away from coal energy, it will be a satire.
    In the United States, legislators are also exploring the impact of energy consumed by Bitcoin mining. According to Coinphony, on January 20, the US Energy and Business Commission Supervision and Investigation Group Committee will hold a public hearing to explore the consequences of energy consumption generated by the cryptocurrency mining business.
    is worth noting that Ethereum said that it will switch to a POS model with lower energy consumption in June, which allows users to win the right to record transactions based on their investment volume in the network.

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