Mozilla Bans Proof-of-Work Coins From Crypto Donation Revamp

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  • Mozilla will start accepting cryptocurrencies again in June but proof-of-work coins will not be accepted
  • The group halted its crypto donation program in January following backlash from supporters
  • Mozilla will announce its new list of accepted cryptos in June

Firefox owner Mozilla will start accepting cryptocurrencies again, but proof-of-work coins will not be welcome. The group announced on Twitter that their recently halted crypto donation program will resume at the end of June but that, in line with its climate change goals, proof-of-work cryptocurrencies will not be accepted. Mozilla drew awareness to its cryptocurrency donation program, which had in fact been going since 2014, in January but a fierce backlash over their acceptance of proof-of-work coins led to the group backing down and promising to rethink its policy, which it has now done.

Proof-of-Work Didn’t Work for Mozilla Fans

Mozilla’s announcement in January that it was teaming up with BitPay to expand its eight-year-old crypto donation program went down well with the crypto community but not with Mozilla’s fanbase, with one of Mozilla’s co-founders even tweeting that “Everyone involved in the project should be witheringly ashamed of this decision to partner with planet-incinerating Ponzi grifters.”

The response was so vociferous because at the same time as announcing the BitPay deal, Mozilla also published its ‘climate commitments’ which was at ideological loggerheads with the acceptance of proof-of-work cryptocurrencies, the mining of which is the most energy intensive method of achieving consensus on a blockchain. As a result, the company announced that it was halting its plans while it rethought its donation scheme.

Climate Goals Accelerate Move to Proof-of-stake

A post published last week by Mozilla noted that the company will “no longer accept ‘proof-of-work’ cryptocurrencies” but “will accept ‘proof-of-stake’ cryptocurrencies, which are less energy intensive.” This list, which of course won’t feature Bitcoin, Dogecoin, or Ethereum (yet) will be published “by the end of Q2 2022.”

The group then explained the reason for its shift:

These decisions are informed by our climate commitments. In January 2021 Mozilla pledged to significantly reduce our greenhouse gas footprint year over year, aiming to exceed the net zero emissions commitment of the Paris Climate Agreement. The first update to our donation policy targets that commitment: Proof-of-work cryptocurrencies can significantly increase our GHG footprint due to their energy intensive nature. Mozilla’s decision not to accept proof-of-work donations ensures that our fundraising activities remain aligned with our emissions commitment.

The move was welcomed by Mozilla supporters, although some were still upset at the fact that cryptocurrencies were being accepted at all (where have they been for the last eight year?), with crypto supporters weighing in on the perennial proof-of-stake vs proof-of-work ideological battle:

One can only imagine the grief that Mozilla is going to get in June when it eschews Bitcoin and Ethereum for EOS, Cardano, and Tron.