Sweden proposes bitcoin mining ban in Europe
by: Dynasty GI2021-12-06
Sweden’s authorities have suggested crypto mining should be banned in Europe on environmental grounds.
According to the country’s Financial Supervisory Authority, together with the Environmental Protection Agency, Sweden has seen crypto mining activity jump by several hundred percent between April and August of this year.
The directors of the agencies, Erik Thedeen and Bjorn Risinger, added that the electricity being used to mine cryptocurrencies is the equivalent of what 200,000 households use on average in the country. They fear that, without curbs on crypto mining, Sweden will struggle to meet its Paris Climate Agreement targets. With relatively favourable energy costs and a high level of renewable energy production, Sweden became an attractive location for crypto miners, especially following China’s mining crackdown. Cryptos like Bitcoin have been the focus of environmental concerns given the high level of energy required to mine this type of cryptocurrency. Earlier in the year, Tesla-founder Elon Musk stopped accepting Bitcoin as payment for his electric cars citing environmental concerns.
"It is always important to point out that most cryptocurrencies, like our own D¥NS, are not based on this kind of mining that demands so much energy. The environmental impact on currencies based on mining, especially Bitcoin, has been a legitimate ground for concerns but we are also seeing a move towards mining through renewable sources of energy and more efficient ways of generating the tokens."
Commented Eduardo Carvalho, the founder and CEO of Dynasty Global Investments AG.