Hetzner Online, a data center based in Germany, said that using its hosting services for any application related to cryptocurrency mining is not permitted. The company disclosed its stance in a Reddit thread, saying that its ban on mining-related uses includes both Proof-of-Stake (PoS) and Proof-of-Work (PoW) applications.
The company’s stance on PoS applications could have serious implications on the Ethereum ecosystem, as 16.0% of Ethereum’s validator nodes are currently hosted on Hetzner’s servers.
Hetzner’s comments have been met with disapproval from the broader crypto community, with many criticizing the company for hosting cryptocurrency-related applications, including mining, for years without disclosing it in their terms of service.
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