The European Securities suggests that proof-of-work cryptos be banned

Bitcoin mining, according to Erik Thedéen, vice chair of the European Securities and Markets Authority, is a threat to fulfilling climate change goals.


Bitcoin mining, according to Erik Thedéen, vice chair of the European Securities and Markets Authority, is a threat to fulfilling climate change goals.
EU flag | Image: VoteWatch Europe

The European Securities and Markets Authority is concerned about the risks bitcoin mining poses to achieving the Paris Agreement's climate change targets.


In an interview with the Financial Times, Erik Thedéen, the watchdog's vice-chair, stated that the amount of renewable energy dedicated to crypto mining has increased significantly. He went on to say that mining has become a "national issue" in Sweden.


Thedéen further stated that he is not proposing for a blanket ban on cryptocurrency, but rather a prohibition on proof-of-work mining in order to shift the business to a proof-of-stake model, which uses less energy overall.


Over the last decade, mining has grown into a massive industry that shows no signs of slowing down.


Despite a blanket ban on mining and crypto in China, one of the world's largest crypto markets, computing power dedicated to the industry reached new highs by the end of 2021.