European Parliament To Vote On Crypto Bill Without PoW Provision

The European Parliament will vote today on a crypto bill that includes no mention of Proof-of-Work mining. The legislation is widely seen as an attempt to distance the EU from China, who have recently cracked down on cryptocurrencies and blockchain use.

The “future of cryptocurrency 2021” is a topic that has been in the news recently. The European Parliament will vote on a bill without the provision for Proof-of-Work.

After addressing difficulties regarding proof-of-work (PoW) mining, the European Union’s parliament has planned a vote on an architecture geared at regulating cryptos.

Stefan Berger, a member of the European Parliament’s Committee on Economics and Monetary Affairs, indicated on Twitter on March 7 that the committee will vote on the Markets in Crypto Assets (MiCA) framework on March 14 when a final text of the bill is submitted.

Berger added that the law would no longer contain any phrase that some had interpreted as a potential prohibition on the proof-of-work mining idea as the rapporteur, who is the person designated to report on the procedures that are relevant to this bill.

According to Berger,

“With MiCA, the EU can set global standards. Therefore, all those involved are now asked to support the submitted draft & to vote for MiCA. Strong support for MiCA is a strong signal from the EU Parliament for a technology-neutral and innovation-friendly financial sector.”

The rule, according to the rapporteur, aimed to provide “legal clarity” and “stable supervisory mechanisms” for cryptocurrency assets, despite concerns about the amount of energy required by mining operations. Nonetheless, the committee said that following the vote, it would continue to examine the measure with the European Council and the European Commission.

The MiCA bill was initially proposed to the European Commission in September 2021, and the European Council accepted it in November of same year. Its goal was to:

“To develop a regulatory framework for the crypto-assets market that encourages innovation while also maximizing the potential of crypto-assets while maintaining financial stability and protecting investors.”

Berger is claimed to have postponed a committee vote on this bill that was supposed to take place on February 28 due to the necessity to explain “the subject of proof-of-work” in detailed consultations with stakeholders.