Europe Against Energy Inefficiency in Cryptocurrencies: Stop Mining If Needed

there European Commission Take the opportunity to temporarily solve two problems: the fight against Climate change Face the most energy-intensive activities, and Valuation of each cubic meter of gas To reach spring with Russian flows approaching zero not only in Italy but throughout the continent. And what activities consume more energy than cryptocurrency mining? Different of course, but Mining is one of the worst in terms of environmental impact.

Europe does not resist honors but against scarcity

Thus, the Commission, as part of a broader plan to digitize the energy system, has allowed member countries to reduce or… So stop mining cryptocurrencyIf there is a risk of water getting into the throat at the end of winter. To end up in the viewfinder Primarily legislators—even if it’s not directly mentioned—Bitcoin, for two reasons. First: it is the most popular cryptocurrency, and therefore the most mined, and therefore requires more resources and therefore consumes more, even that gas whose stock is gradually weighed with slingbar.


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Cryptocurrency mining is not like that

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September 19

Second: unlike Ethereum, Bitcoin and a very large portion of other cryptocurrencies are based on the Proof of Work protocol, which the European Union (and not only) considers to be very outdated and ineffective. The world’s second cryptocurrency by proliferation, Ethereum, moved last month (after several delays) to demonstrate a stake structure that reduces the amount of resources used by 99%. The panel points to Ethereum and PoS as good examplesSo He does not dump cryptocurrency as cryptocurrency but criticizes PoWsincompatible with European and global environmental and geopolitical contexts.

“Ready to shut down mining if necessary”

which of them The member states have a carte blanche to eventually stop mining “polluted” cryptocurrencies completelyand are encouraged to implement measures aimed at reducing consumption Minersdigital gold miners: “In the event that the load on electricity systems must be reduced, member states must be prepared to stop cryptocurrency mining.”.

They add from Brussels, “From a long-term perspective, this is also critical Cancellation of tax exemptions and other measures in favor of the cryptocurrency market”. Energy consumption of Bitcoin and the like has increased by 900% in the past five years, says Europe, and has nearly doubled in the last 2, It absorbs about 0.4% of the total electricity produced in the world.

A guide to the 2021 Energy Poster: What is changing and how to read

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A report on the climate impact of the cryptocurrency market by 2025 will arrive to indicate actions that need to be taken to reduce the environmental impact of mining and, above all, Label will be provided (similar to the one for home appliances) which summarizes the effect of energy in individual block chains.

Italy 6A in Europe to use cryptos

After all, the crypto market is not dead. At least in Italy: According to the latest report on the global cryptocurrency adoption index The use of cryptocurrencies in Elder has increased by 23% in the past yearwhich is the result that gives us Sixth place in Europe It is ranked 51st in the world among the markets most relevant to this sector. Between July 2021 and June 2022, Europe traded more than $1.3 trillion in cryptocurrencies.

Italy is only after Germany and Spain in terms of growthand the sixth largest cryptocurrency user in the old continent after the United Kingdom (17th in the world), Germany (21) France (32), Spain (34) and Portugal (38). 30% of virtual currency traffic in Italy is driven by NFTs.

This data – which was explained to ANSA Nicola Buonanno, Regional Director of Semea, the company that conducted the research – attests to the continued growth of cryptocurrency adoption in Italy and underscores the opportunity that blockchain and cryptocurrency offer companies to improve financial inclusion, and create new ones. Job opportunities and support for the advancement of the digital economy.

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