Norwegian Cryptocurrency Mining Business Faces Crackdown: Details

In the coming days, Norway will regulate the operation of data centers within its jurisdiction. Its purpose is to identify and stop energy-intensive operations (such as those related to cryptocurrency mining). As Norway faces extremely cold weather conditions for much of the year, the government wants to ensure that power outages do not affect the country’s heating system. The Norwegian government also intends to minimize the negative environmental impact of cryptocurrency mining carbon emissions.

New regulations in Norway are expected to put more controls on the country’s data center business. Cryptocurrency mining companies operating in Norway may be cracked down by the government once new regulations are introduced.

Karianne Tung, the country’s Minister of Digitalization and Public Governance, and Terje Aasland, Minister of Energy It is said Those plans were talked about this week.norwegian publications VG The development was first reported earlier this week.

“This is the kind of business we don’t want in Norway,” one report Cryptorank.io To quote Aslan.

Cryptocurrency mining is a power-hungry process that requires advanced computers with a constant power supply. Cryptocurrency mining operations often overload electricity networks, leading to outages and heating in cold regions such as Norway. This brings great inconvenience to residents.

Last year, Norway It is said Becoming one of the largest crypto miner hosting locations in Europe. The main motivation for miners flocking to Norway is the availability of affordable electricity.

one analyze Arcane Research said last year that Norwegian Bitcoin miners generated almost 1% of the computing power of the entire network. As a result, Norwegian authorities are taking steps to limit mining operations before the situation worsens.

According to research firm S&P GlobalEnergy used in BTC mining doubled in 2023 as prices for multiple cryptocurrencies rose. As of 2024, Bitcoin mining will require more than 16 gigawatts of electricity and generate approximately 80 megatons of carbon emissions annually. recent reports Digieconomist said in March.