A high-ranking official of the European Securities and Markets Authority is calling for a proof-of-work crypto mining ban, and instead shift to a proof-of-stake method.
BTC is up 2.48%.
ESMA Vice-Chair Erik Thedéen said regulators should take special exception to proof-of-work mining primarily used by Bitcoin, citing the concerns over the risks it brings on the climate change goals.
Thedéen said discussions are needed regarding the shift of the industry to a “more efficient” technology, as he pushed for the adoption of the “proof-of-stake” as a greener alternative.
Paris-based alternative investment firm Melanion Capital already earlier responded to the ban on proof-of-work mining in November 2021, calling such efforts “completely misinformed.”
Melanion noted that with Bitcoin being decentralized, Bitcoin should not be rendered illegal for its lack of defensive powers.