The new version of the draft law on digital asset markets in the EU will not include a controversial clause banning cryptocurrencies using the Proof-of-Work consensus mechanism, the German publication BTC-ECHO reports. Proof-of-Work is used by Bitcoin, Ethereum and some other major cryptocurrencies.
Last week, European lawmakers proposed discussing the possibility of banning cryptocurrencies, the operation of which requires high energy costs 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.
It was assumed that such cryptocurrencies could be banned in the EU in January 2025. An exception could have been made for small cryptocurrencies, the existence of which does not jeopardize the EU's goals in the use of renewable energy sources.
Nevertheless, following the discussion of the European Commission, the European Council and the European Parliament, it was decided to reject the ambiguous proposal, as evidenced by the published report.
"It is important that the report does not imply an actual ban on bitcoin," said Stefan Berger, a member of the European Parliament, who previously opposed the initiative.
Instead, Berger suggests obliging cryptocurrency developers to include an assessment of energy consumption in the white paper of their projects. He also noted that the exclusion of the controversial moment will allow the discussion of the bill to continue and ultimately put it to a vote.