Norway supports Sweden’s idea to consider a ban on bitcoin mining.
Norway recommends the Swedish regulator’s initiative to halt the mining of cryptocurrencies, including bitcoin, at the EU level.
Norwegian stated that they will look to the solutions proposed by the Swedish regulators, and our target would be common European regulations in this area. Previously, Sweden proposed to ban POW mining at the EU level. https://t.co/ZX7xEa6mML
— Wu Blockchain (@WuBlockchain) November 19, 2021
On Nov 9th Sweden urged European Union (EU) to ban Bitcoin mining as Swedish regulators believe that Bitcoin and other cryptocurrencies, Proof-of-Work mining will prevent the country and the European Union from complying with the Paris Agreement on Climate Change.
Norwegian local government and regional development minister Bjørn Arild Gram said.
“Although crypto mining and its underlying technology might represent some possible benefits, in the long run, it is difficult to justify the extensive use of renewable energy today.
We are currently considering potential policy measures in order to address the challenges related to crypto mining. In the context of this work, we will look to the solutions proposed by the Swedish regulators, and our target would be common European regulations in this area.”
In both countries, energy consumption by local miners jumped hundreds of percent between April and August, making it difficult to meet electricity needs and climate commitments.
Norway, Sweden, and Iceland have become popular destinations for crypto mining due to the abundance of renewable energy sources and low electricity prices.
The European Commission also indicated that they support the concept of abandoning the Proof-of-Work consensus algorithm in favor of a less energy-intensive Proof-of-Stake model.
Recall that the mining company HIVE Blockchain Technologies sold its Norwegian subsidiary ‘Kolos Norway AS’ in May due to the removal of electricity subsidies.