The parliamentarians of the European Union indefinitely suspended the vote on the regulatory framework for digital currencies that was scheduled to take place on February 28 and intended to approve a package known under the acronym MiCA, regulation on cryptoactive markets.

The vote was reserved for the EU parliament to send the proposal with the potential modifications for discussion with the members of the Council of the European Union and the European Commission, but it was suspended after the presentation of a new draft that contemplates a provision to limit cryptocurrency mining based on proof-of-work (PoW) mechanisms.

Stefan Berger, president of the Economy Committee and rapporteur in charge of that vote, asked for more time to elucidate the new provisions. The parliamentarian expressed through his social network Twitter: “The EU Parliament vote on MiCA will be canceled at my request (…). As rapporteur, it is essential for me that the MiCA report is not misunderstood as a de facto ban for Bitcoin.”

The rapporteur did not explain when the vote could take place and did not indicate a tentative timetable for the decision of the expected European crypto regulation.

Environmental impact of crypto

The new MiCA draft includes a provision that aims to restrict the use of energy-intensive cryptocurrencies, particularly referring to digital currencies based on PoW networks such as Bitcoin and Ethereum. If this provision is approved, it would come into force in 2025 and would impact the different companies that offer services with PoW cryptocurrencies.

It is important to note that the controversial provision of the regulatory framework refers to the progressive “concerns about the environmental impact of mining assets such as bitcoin, an issue that has been in vogue among regulators in countries around the world in recent months.”

The assembly members of the European Union and the politicians of several member countries such as Sweden, Germany and Spain, have been pressing, since November last year, to ban “proof-of-work mining due to energy concerns. Other officials such as the vice president of the European Securities and Markets Authority (ESMA), Erik Thedéen, also support this request.

M. Rodríguez

Source: diariobitcoin.com

La entrada European Parliament suspended the discussion of regulatory framework on crypto assets apareció primero en Bitfinance.