Norway Considers Temporary Ban on Power-Hungry Crypto Mining
Norway might put a stop to new data centers focused on cryptocurrency mining—at least the ones that guzzle the most electricity. The government announced the potential move on Friday, citing concerns over energy use and limited local benefits.
The proposal, still in early stages, could take effect by autumn 2025 if approved. It wouldn’t shut down existing operations, but it would block new ones from setting up shop. The goal? To keep power available for industries that create more jobs and contribute more to the economy.
Why Target Crypto Mining?
Karianne Tung, Norway’s Minister for Digitalization and Public Administration, didn’t mince words. “Cryptocurrency mining is very power-intensive,” she said, “and generates little in the way of jobs and income for the local community.”
She’s got a point. Crypto mining, especially the kind that relies on proof-of-work technology (like Bitcoin), requires massive amounts of electricity. In a country where energy is already a hot topic—thanks to green initiatives and fluctuating demand—diverting power to an industry with questionable local upside seems hard to justify.
But it’s not just about jobs. Norway’s energy grid is under pressure, and officials are wary of letting a single industry hog resources. There’s also the environmental angle. Even though Norway gets most of its electricity from hydropower, the sheer scale of crypto mining’s energy use raises eyebrows.
What Happens Next?
The government hasn’t finalized anything yet. A temporary ban is just one option on the table, and details—like how long it would last or which technologies would be affected—are still fuzzy. Autumn 2025 is the earliest it could kick in, assuming the plan moves forward.
Reactions are mixed. Some argue Norway should welcome any industry that boosts its digital economy. Others say the country’s energy should go to sectors with clearer public benefits, like manufacturing or healthcare.
One thing’s certain: this isn’t just a Norwegian issue. Other countries, from China to parts of the U.S., have grappled with how to handle crypto mining’s energy demands. Norway’s approach might not be perfect, but it’s another sign that governments are starting to ask tough questions about who gets to use power—and for what.
For now, crypto miners in Norway can keep operating. But if the ban goes through, the door could close for new players. Whether that’s a smart move or an overreach, well, that’s up for debate.
