Norway Introduces Regulation to Control Energy Use in Crypto Mining Operations

Norwegian lawmakers have taken a significant step towards regulating the energy consumption of crypto mining operations in the country, particularly focusing on Bitcoin mining. The new regulation requires data centers to report their energy usage and ownership to the authorities, aiming to steer electricity consumption towards more socially beneficial services.

Energy Minister Terje Aasland and Digitalization Minister Karianne Tung emphasized the need to control the environmental impact of crypto mining, citing concerns over greenhouse gas emissions. However, critics argue that Norway’s abundant and renewable hydroelectric power makes it an attractive location for Bitcoin miners, who do not directly emit greenhouse gases.

The move has sparked backlash from industry experts, with CH4 Capital co-founder Daniel Batten pointing out the sustainable energy usage of Bitcoin mining compared to other sectors. Batten also criticized Aasland for what he sees as discriminatory practices in regulating energy usage, questioning why Bitcoin mining is targeted while other high-energy activities are not.

As Norway takes steps to regulate crypto mining, the debate over the environmental impact and energy consumption of Bitcoin mining continues to unfold. Stay informed with daily updates on crypto news by subscribing to our newsletter.