PayPal has developed a platform to encourage “green miners”

The company has proposed a system to stimulate cryptocurrency mining participants with additional rewards

23.04.2024 - 09:50

3 min

What’s new? The research arm of payment company PayPal has partnered with NGO EnergyWeb to develop a platform to reward bitcoin miners for using low-carbon energy sources. The parties have also developed a concept that will increase the likelihood that participating organizations in the platform will direct onchain transactions to just such “green miners.”

Press release

What else is known? The platform will allow bitcoin mining participants to receive accreditation for low-carbon mining, with certain public keys tied to them for reward distribution.

Such “green miners” will be favored when sending on-chain transactions for processing, as they will offer a lower fee. This difference will be compensated by an additional reward in BTC locked in the multi-signature payout wallet.

The platform’s member miners will have an incentive to process such transactions, as only they will be eligible to receive the additional blocked reward.

PayPal noted that sustainability is an important topic in virtually every emerging and established industry in the world, and with this development, the parties aim to support the role of cryptocurrencies in a sustainable future.

The platform has been tested in operation by Canadian mining company DMG Blockchain Solutions.

In January, PayPal invested $6,5 million in Mesh, a platform to improve the security of digital transactions. 77% of the investment was paid in PayPal’s own stablecoins, PYUSD. Earlier, the US Securities and Exchange Commission (SEC) issued a subpoena to PayPal over the asset launch.

US president has again proposed to impose a 30% tax on mining

Last year, the head of the country proposed similar measures, but they were rejected by Congress

In April, Norway introduced a bill to regulate mining, which involves the registration of industry companies. The document aims to restrict the activities of miners because of its harm to the environment. Earlier, Paraguayan senators decided to discuss selling surplus electricity to miners instead of banning the industry.

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