Norway stands behind Sweden’s alarm to impose a ban on Crypto Mining
TL; DR Division
- Norway is behind Sweden’s proposal to take measures against crypto mining.
- The state plans to streamline digital assets.
- Power consumption goes out of control.
Norway wants to limit the mining of digital assets through the new Swedish system. They intend to solve the problems that arise around carbon footprints. The Norwegian politician for the Center Party, Bjørn Arild Gram, wants strict measures to be put in place. He gave a clue in a recent interview.
Some officials from Sweden’s highest agencies asked Europe to stop proof-of-work mining because it poses risks. They did this in one open letter. The ban will ensure that the objectives of the Paris Climate Agreement are met.
In addition, Norway will also help implement the ban linked to mining. The core of this is to ensure that there is an improvement in more feasible and structured protocols.
Better protocol
The heads of Sweden’s financial service companies want a ban on proof-of-work mining in the EU.
Under this system, computers have to solve complex mathematics in order for transactions to be validated. The process consumes a lot of energy because the computer energy is also high. Ethereum has chosen to move from proof-of-work to consensus with ethereum 2.0.
Gram said he is aware that cryptocurrency mining and the technology behind it can be crucial. However, he notes that the large use of renewable energy is currently a challenge. He pointed out that the state must put a ban on dealing with the results of cryptocurrency mining.
Norway has become a haven for miners. The country is trying to maintain reasonable electricity charges, and they are also improving rich renewable energy. Norway has a significant proportion of its power emitted from hydropower production.
At the beginning of the year, Norway developed the most affordable electricity. It does so for non-household customers in the European Economic Area (EEA). Gram said that there had been a lot of energy use by bitcoin miners in Norway this year. Sweden demands that different parties use renewable energy. It will be good for climate change.
Educational value
Gram made the news in the middle of a debate in the country about renewable energy to enable digital coinage. He insists that renewable energy should show its value.
A few months ago, the Minister of the Environment Espen Barth Eide said that cryptocurrency mining would pose significant risks to their power-intensive companies in the future.
The EC is responsible for implementing cryptographic rules in the EU. The Commission has acknowledged that it is already encouraging the crypto-mining industry to adopt better alternatives. Miners should change software from proof-of-work blockchains to proof-of-stake.