A European Parliamentary Committee, is slated to hold a Vote, on the Final Version of the Draft on Cryptocurrency Assets on Monday.
According to the Draft for the New Law, Crypto-Assets, Issued and/or Traded in the EU: “shall be subject to minimum environmental sustainability standards and set up and maintain a phased rollout plan to ensure compliance” with those Requirements.
In late February, another Draft intended to Ban Bitcoin (CRYPTO: BTC) within the EU by 2025 was introduced, however, it received Strong Flack within the Community forcing EU Lawmakers to back down from their Plan to impose a Ban on the Apex Crypto.
The Reference to Minimum Sustainability as well as Rollout Requirements, appear to be last-minute Changes, introduced to Ban the use of Digital Currencies working on a “proof-of-work” Consensus Mechanism. Jeremy Allaire, Co-Founder, Chairman and CEO of Circle, was among the Industry Leaders responding with Alarm to the Proposal.
Extremely High Stakes Vote in the EU. That such a Proposal made it this Far is Extraordinarily Concerning and Unlikely to Stand-Up to Practical Reality.
Proof-of-Work is the Consensus Mechanisms governing the Bitcoin Blockchain.
For Cryptocurrencies like Bitcoin and Ethereum (CRYPTO: ETH), that are already Trading in the EU, the Rule proposes a Phase-Out Plan, to shift their Consensus Mechanism from Proof-of-Work to Less Energy-Intensive Methods, like Proof-of-Stake.
The Proposed Regulations, known as the Markets in Crypto Assets (MiCA), have the Potential to channel Cryptocurrency Adoption in Europe.
The Draft would also require, the European Central Bank to establish Uniform Rules for Crypto-Asset Service Providers and Issuers at EU level.
NYC Wins When Everyone Can Vote! Michael H. Drucker
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