In brief
- Norway’s government has said it is planning to impose a temporary ban on new crypto mining operations.
- The country has cracked down on crypto mining before.
- But the country’s ruling Labor Party also said power used for mining digital assets could be put to better use, including for community data centers, and blockchain.
Norway is cracking down on Bitcoin—again.
The country’s Labor government said in a statement Friday that it would investigate a temporary ban on new power-intensive crypto mining operations. According to the statement, the power used for mining digital assets could be put to better use, including for community data centers and blockchain.
“During the fall of 2025, the government will explore the possibility of temporarily prohibiting the establishment of new data centers in Norway that extract cryptocurrency with the most power-consuming technology,” the statement read.
The government added that “the useful use of blockchain technology and AI is also important,” and that it wouldn’t want to “impede innovation and development in areas that are useful to society.”
Energy minister Terje Aasland added: “By prohibiting power-intensive mining of cryptocurrencies, we can free up land, power and grid capacity for other consumption that contributes to a greater extent to value creation, jobs and cuts in greenhouse gas emissions.”
The statement did not reveal which cryptocurrencies it was concerned about and did not immediately respond to Decrypt‘s questions.
By far, the crypto mining industry mainly focuses on minting the leading digital asset, Bitcoin, but other large proof-of-work assets that require mining include Dogecoin, Bitcoin Cash, and Litecoin.
It wouldn’t be the first time the Scandinavian country has cracked down on crypto mining: In 2018, the country’s government ended electricity subsidies for Bitcoin miners.
Moreover, despite an abundance of hydroelectric-generated power, Norway’s electricity prices have recently surged as the country absorbs energy costs stemming from declines in wind power among European neighbors via prior agreements with those countries. Governments around the world have previously cracked down on Bitcoin mining—most notably China, which experienced an exodus of miners to the U.S. after authorities banned the practice.
Mining Bitcoin and other cryptocurrencies is a power hungry business. Operations are scattered around the globe. Miners typically flock to where they can find cheap electricity to fuel their set-ups: warehouses full of specialized computers that process transactions on a crypto network.
Other industries, including AI, also use enormous amounts of electricity.
Bitcoin was recently trading at about $103,755, roughly flat over the past 24 hours, CoinGecko data shows.
Edited by James Rubin
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