EU parliament official will exclude Proof-of-work text from the MiCA framework

EU parliament official will exclude Proof-of-work text from the MiCA framework 2

The European Parliament Committee on Economics and Monetary Affairs decided to hold the vote on the MiCA framework on 14 March. 

In the present time a framework to ban the crypto assets, causing huge pollution, use for businesses, by Markets in Crypto Assets (MiCA), is in the full discussion, which includes the provisions to ban all the cryptocurrencies which are based on Proof-of-work Consensus. However, the MiCA framework will not include Bitcoin in this list. 

On 7 March, Stefan Berger, member of the European Parliament Committee on Economic and Monetary Affairs, wrote on Twitter that the Committee will hold a vote on the MiCA framework on 14 March, after the Introduction of the final version of the drafted bill. 

Berger is a rapporteur for the drafted bill of MiCA, so he will give clarity on the proceedings related to the bill. 

Berger clarified that the bill’s provisions will not include the consideration of ban laws on the mining of Proof-of-work based crypto assets.

“With MiCA, the EU can set global standards,” said Berger. “Therefore, all those involved are now asked to support the submitted draft & to vote for MiCA. Strong support for MiCA is a strong signal from the EU Parliament for a technology-neutral and innovation-friendly financial sector.”

Berger also wrote that the main aim of the MiCA framework will be to bring clarity on the rules and laws on crypto to provide “legal certainty” and establish “reliable supervisory structures” for digital assets and their market. 

However the provisions in the framework of MiCA’ drafted bill has been known to a better extent but still, the discussion on this drafted bill will take place with the European Council and the European Commission following the vote. 

This drafted bill was introduced first time in September of 2020 and after that bill faced many delays and also many controversies, especially in the last few months. The majority of the people raised their voice against this bill because it includes ban on the businesses related to Proof-of-Work based crypto assets, which was targeting Bitcoin. 

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