Howard A. Fischer quoted extensively in AgendaWeek regarding the regulatory and litigation risks facing companies with cryptocurrency exposure, including risks relating to environmental impacts.

The environmental impact is another issue for boards to consider when contemplating investing in cryptocurrency, according to Fischer, who said he wouldn’t be surprised if related litigation began to crop up in the near future, on the enforcement side as well as on the civil litigation side.

“Crypto-mining using proof-of-work methodologies is a tremendous energy user,” Fischer said. “What are the emissions from that energy usage? If a company accepts or invests in digital assets, how do they account for and properly disclose the emissions associated with that mining?”

A company that accepts or invests in digital assets might “unwittingly fall afoul of its environmental goals and required disclosures,” he said, which puts into question its stated environmental, social and governance commitments.