According to the new version of the bill on digital asset markets in the EU, the bloc does not plan to ban cryptocurrencies using the proof-of-work consensus mechanism (Bitcoin or Ethereum), German publication BTC-ECHO reports.
European legislators last week proposed to discuss the possibility of banning cryptocurrencies in the EU since their operation requires large amounts of electricity and has a negative impact on the environment. Since the end of last year, several high-ranking officials in the bloc have made a corresponding proposal.
The ban on such cryptocurrencies was expected to enter into force in the EU in January 2025. An exception could have been made for small cryptocurrencies whose existence does not jeopardize the EU’s goals in the field of renewable energy.
However, following a discussion between the European Commission, the European Council and the European Parliament, it has been decided to abandon the controversial proposal.
Instead, it has been proposed to oblige crypto developers to include energy consumption estimates in the white paper of their projects.