EU Committee Votes Down Anti-proof-of-work Clause in Crypto Bill

The clause previously sought to “effectively” ban crypto services related to proof-of-work-based coins, including bitcoin and ether

article-image

EU flags in front of European Commission in Brussels | Source: Shutterstock

share

key takeaways

  • A controverial section of the EU’s crypto draft bill has been voted down by the bloc’s economic committee
  • Voting witnessed 23 votes in favor to 30 votes against, with a further six abstaining

The EU Committee on Economic and Monetary Affairs (ECON) has voted against the implementation of a controversial clause that some say possessed teeth to effectively ban proof-of-work coins, including bitcoin.

ECON’s voting session on Monday witnessed 23 votes in favor of the Markets in Crypto Assets (MiCA) draft legislation’s clause to 30 votes against, with a further six abstaining.

Specifically, the clause sought to subject the use of the crypto industry’s proof-of-work-based digital assets to “minimum environmental sustainability standards.”

Language in the bill also included a measure to “set up and maintain a phased rollout plan to ensure compliance with such requirements.”

The wording was a revision to the bill which previously sought to establish a framework prohibiting crypto services from utilizing proof-of-work-based cryptos altogether.

Some, including Unstoppable Finance’s head of growth Patrick Hansen, viewed the language, including its revised wording, as “essentially the same” as a ban on bitcoin.

Lawmakers across the continent have been pushing for regulation on crypto mining, concerned proof-of-work is an energy-intensive crypto activity deemed “unsustainable” in light of the legislation’s aims.

Introduced in 2020, MiCA seeks to tighten regulation around digital assets by establishing a licensing regime on the continent and streamlining a uniform set of rules for the bloc’s 27 member states.

MiCA is part of the EU’s Digital Finance package that is attempting to “further enable and support the potential of digital finance in terms of innovation and competition while mitigating the risks.”


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Research Report Templates.png

Research

Content Delivery Networks (CDNs) represent low-hanging fruit in a massive market ripe for Web3-driven disruption. The global CDN market was valued at ~$28B in 2024, and is projected to surpass $140B by 2034, (18.75% CAGR) underscoring the immense demand for efficient content delivery.

article-image

US dollars might technically be worth less, but it’s still good news

article-image

Apps are doing well, as is casino gaming, says Tom Schmidt of Dragonfly

article-image

Sponsored

Machine DeFi brings programmable peer-to-peer finance into contact with tangible machines that generate real-world value

article-image

What happens to your investment portfolio when the companies driving returns are no longer in it?

article-image

Wow, the ETF hype sure didn’t last long

article-image

The private sector lost 33,000 jobs in June; analysts had projected payrolls to add 100,000 positions