The EU on the same path as China? – In the cryptosphere, we know that the mining of Bitcoin (BTC) and other cryptos in Proof of Work (PoW) can be very virtuousand so to avoid waste of energy while stimulating the economy. But’European Union doesn’t want to hear about it, and sees crypto-mining as a ecological scourge – contrary to EU rules on air corridors, which oblige airlines to fly empty planes. Fortunately, cryptos in PoW are going to have a reprieve.
Bitcoin PoW Killer Law Successfully Intercepted
Even if Christine Lagardethe president of the European Central Bank (ECB) is very, very eager to pass the restrictive MiCA Law (markets in crypto-assets) on crypto-assets, the banker will have to be patient.
Indeed, as reported in particular by The Block, the Parliament European decided to repel a vote on this new cryptocurrency regulation. Originally scheduled for Monday February 28 2022 on the agenda of the European body, this vote has been postponed without that a news dated be fixed.
As a source quoted by The Block explains, a leaked amendments on the MiCA Law would have revealed a virtual ban on mining cryptocurrencies in proof of work. With of course Bitcoin first, and Ethereum (ETH) second as long as this network has not gone into Proof of Stake (PoS).
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The outcry of crypto players gives a breath of fresh air to the sector
The strong protests companies linked to cryptocurrencies, following these dangerous amendments, have reached the ears of members right and centre-right of the European Parliament. They have mostly withdrew their support to these problematic changes.
Even if Stefan Bergerthe rapporteur in charge of the MiCA Law claims that he did not want this law to be interpreted “like a de facto ban on Bitcoin”rather judge for yourself the amendment discreetly added on February 21, for a vote initially scheduled barely 7 days later:
“(…) there is an urgent need to underline the need for consensus mechanisms to deploy more environmentally friendly solutions, and to call on the Commission to identify consensus mechanisms that could pose a threat to the environment with regard to to energy consumption (…) Unsustainable consensus mechanisms [ndlr : le PoW est bien sûr directement visé] should only be applied on a small scale. »
Excerpt from an amendment to the MiCA Law
However, if the consensuses by Proof of Stake are trending right now – ecology obliges -, they are not exempt from weaknesses against Proof of Work. Indeed, as in a plutocracythe wealthiest participants – who own more tokens – have more power on the blockchain.
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