Breaking: U.S. Could Soon Ban Or Limit Proof Of Work Based Crypto Mining

crypto mining ban

In an effort to promote environmentally responsible crypto-asset technologies, the White House proposed some standards for crypto mining. Ideal standards should include very low energy intensities and clean energy usage by operators, it said. If these set standards prove to be ineffective, the U.S. administration indicated its alternate plans. In a clear case of intolerance to adverse environmental impact from the activities, it even suggested placing a limit or a ban on crypto mining. Especially so in high energy intensity consensus mechanisms, like the proof of work method.

U.S. TO Ban Proof Of Work Based Crypto Mining?

A White House report published on Thursday suggested a slew of measures to control high energy usage in crypto related activities. The White House report stated that the Environmental Protection Agency (EPA) and the Department of Energy (DOE) should provide technical assistance on the issue. The overall objective of the standards is to minimize unwanted impacts of cryptocurrency mining, it added. Emissions, noise, water impacts, and negative economic impacts of crypto-asset mining should be controlled, it explained.

In case the above measures and standards fail to prevent the negative impacts, the administration could ban or limit the activities, it explained. The report mentioned high energy intensity consensus mechanisms in crypto mining, in a potential hint of the proof of work consensus mechanism.

“Should these measures prove ineffective at reducing impacts, the Administration should explore executive actions, and Congress might consider legislation, to limit or eliminate the use of high energy intensity consensus mechanisms for crypto-asset mining.”

More Power To Proof Of Stake Blockchain Projects?

With the upcoming transition of Ethereum to the proof of stake mechanism from proof of work, the energy impacts of mining were widely discussed in recent times. Thanks to the White House’s directive on reducing energy usage of crypto mining, the proof of stake projects could gain prominence going forward.

Meanwhile, Ethereum cofounder Vitalik Buterin had recently announced the launch of his book titled PROOF of STAKE. The book is a compilation of Buterin’s writings from the past about the making of the Ethereum network. The writings are centered around building an internet native world.

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