European Parliament postpones crypto regulation vote amid backlash

The European Parliament has postponed a vote on crypto asset regulation after a leaked draft included a provision that sought to ban cryptocurrencies.

According to CoinDesk, the provision sought to ban the use of cryptocurrencies like Bitcoin and Ether in the EU over energy concerns, which drew considerable criticism from parliamentarians in the chamber.

The leaked draft of the framework detailed that crypto firms would no longer be able to provide services that require the use of proof-of-work based cryptocurrencies starting January 2025. Proof-of-work is an energy-intensive computing process, which Bitcoin and Etherum currently rely on.

Stefan Berger – who is the parliament member in charge of the regulation – has asked for more time to clarify the provisions. The regulation is a part of the Markets in Crypto Assets framework.

Berger told CoinDesk that he sees an ‘urgent need to resume talks with parliamentary groups on this topic and to present clear facts on proof-of-work’. He did not specify to the publication when the vote will take place next.

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