New Document reveals “EU don’t like Bitcoin”: Report

Many documents revealed that the European Union is not looking at Bitcoin and other Proof-of-work based cryptocurrencies in positive ways. 

The European Union is much aware of the crypto and blockchain industry and the majority of the government agencies don’t like cryptocurrencies because of huge environmental issues because of “crypto mining” activities. 

On 21 April, Netzpolitik, Digital rights organization, published a report by taking reference to many documents collected through “freedom of information” requests from EU government agencies. 

Netzpolitik reported that EU government agencies don’t like cryptocurrencies, especially Proof-of-work based blockchain networks like Bitcoin. 

One of the documents contains information and details about the meeting of the EU’s financial supervisor and environmental agency. In the meeting, both agencies discussed the increasing environmental issues because of the Bitcoin network. They talked about ways to bring pressure on the Bitcoin Community to force the Bitcoin network to shift to Proof-of-stake Consensus. 

One of the person in meeting added:

“If Ethereum can shift, we could legitimately request the same from BTC. We need to ‘protect’ other crypto coins that are sustainable. Don’t see (the) need to ‘protect’ the Bitcoin community.”

In the same meeting, another person suggested imposing a blanket ban restrictions on trading, which included provisions to ban trading of all proof-of-work-based cryptocurrencies. 

The meeting also touched on the discussion on the consequences of the ban on Bitcoin. 

MiCA framework and controversy 

In Q4 2021, the EU’s MiCA proposed a framework to ban trade and deals associated with all proof-of-work-based cryptocurrencies. After that crypto Community started to raise questions and criticism against the framework.

Later in response, EU lawmakers said that it was not about the ban on Bitcoin but it was restrictions on other Proof-of-work based cryptocurrencies. 

Later lawmakers removed Proof-of-work & ban word from the proposed bill. However at that time, few experts noted that the MiCA framework still includes some negative provisions against Proof-of-work based cryptocurrencies indirectly, but the whole controversy stopped because renewed framework was not able to ban Bitcoin or other crypto asset.

Read also: Bahamas’ citizens will be allowed to access crypto with CBDCs