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BANNING BITCOIN MINING IN SWEDEN OVER PROOF OF WORK ENERGY CONSUMPTION ISSUE

BANNING BITCOIN MINING IN SWEDEN OVER PROOF OF WORK ENERGY CONSUMPTION ISSUE

One day, another environmental attack on mining confirmation (PoW) mines. A report shared by the central bank of Sweden stated that Bitcoin (BTC) and cryptocurrency mines should be banned.


Sweden's largest bank, known as Riksbank, is the largest bank in the world. In a sad report entitled, "Cryptocurrencies and their impact on financial stability," the bank had a split in the PoW cryptocurrency mines. PoW mines use dynamic data centers that solve complex issues to protect blockchains. The report said:


"Recently, some crypto assets have been introduced in northern Sweden, where they consume as much electricity as 200,000 families do every year."

To Knut Svanholm, a Bitcoin writer who recently wrote "∞ / 21M," he told Cointelegraph, "The big bank has no business telling people what they can and cannot do with their electricity."


"If they really cared about the environment, they would have closed their jobs tomorrow morning."

This paper cites peers at the Environmental Institute and the Swedish Financial Supervisory Authority, equivalent to the United States Securities and Exchange Commission, in its assessment of the potential use of Bitcoin:


"The proof of operation, which is used to verify transactions and to issue new cryptocurrencies, should be prevented by harvesting alternatives that do not use less power."

Svanholm has a different take on it: "Bitcoin miners guess the number over and over again. [...] As many other Swedish institutions have done before, they [the central bank] prefer to comment on something they do not understand.


This report is not surprising, as banks and governments often aim to harness the power of PoW. The report also flies in the face of Bitcoin acquisition in Sweden. Home of the founding of Bitcoin, Sweden has made great strides in terms of European Bitcoin adoption.


Prominent Swedish Bitcoiners, including Svanholm and Christian Ander, founder of the Swedish Bitcoin exchange BTX, quickly opposed the report on Twitter. Svanholm shared a YouTube video that said "no power for Bitcoin mining will be wasted."



Ander called the report "absolutely inappropriate." He wrote on Twitter:


“Electricity use must be neutral, production must be controlled. Do not control what people do with it. ”

As bank partners in the International Monetary Fund march ahead with the central bank digital currency - as they will use less energy - Bitcoin mining numbers are tight. By the end of 2021, Bitcoin took first place as the cleanest industry in the world with its mix of renewable energy. In neighboring Norway, Bitcoin miners use 100% renewable energy, while Bitcoin miners around the world strive to make the world a better place.



The proposed ban from central central banks in Sweden also comes at the same time as the publication of a report examining the potential efficiency of crypto transactions. The report said:


"When the Bitcoin Lightning layer is compared to the Fast Payment system, Bitcoin gains significantly in terms of balance and efficiency, which shows that it uses a million times more power per payment than Instant Payments."

The Bitcoin Lightning Network recently arrived with a 4,000 BTC milestone showing its promise as a payment solution. Electronic payments occur outside the chain and use much less electricity than the Bitcoin miners who protect the 1st layer of the network.


However, a study from the Cambridge Center for Alternative Finance states that Bitcoin consumes 15GW of electricity per day. On the merits of the meme, back-of-the-napkin statistics from one Twitter user say that dryers in the U.S. consumes more energy:



Our Country Report on Data has shown that the global gaming industry is tripling the Bitcoin network rollout.

Source: cointelegraphy




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