Key Takeaways
- Porter’s tweet had sparked interesting discussions around the issue of using renewable energy for crypto mining.
- Economist and Bitcoin expert Alex de Vries states expending precious renewable power on “random computation” rather than on sectors that provide jobs and other economic benefits to a national economy can be problematic.
- The worldwide Bitcoin mining sector is being powered by an estimated 58.5% renewable energy by the fourth quarter of 2021.
Recently, Bitcoin Advocate Dennis Porter took to Twitter to talk about how utilizing Bitcoin to solve problems posed by renewable energy.” The problem with renewables is they don’t have someone to buy up excess production or curtail usage during peak demand. Bitcoin data centers can perfectly solve both of these issues. Once the climate activists learn this, Bitcoin will explode to new all-time highs”, his tweet reads.
Porter’s tweet had sparked interesting discussions around the issue of using renewable energy for crypto mining in the comment section. His take on renewables and Bitcoin has enjoyed a fair share of support in the comments with many agreeing with his view point.
This is not the first time Dennis Porter has started discussion on renewable energy and the role of Bitcoin miners. Earlier this year, The Bitcoin Advocate had asserted that Bitcoin (BTC) creates incentives to build out renewables. Environmental scientist Peter Gleick has, however, rebuffed the statement as a “self-serving lie.”
Debates regarding Bitcoin mining being eco-friendly and is there even a need to indulge in green crypto mining have existed since the inception of Bitcoin.
Bitcoin mining demands a vast amount of processing power, and many believe using precious renewable power on it is unnecessary. Economist and Bitcoin expert Alex de Vries states expending precious renewable power on “random computation” rather than on sectors that provide jobs and other economic benefits to a national economy can be problematic.
Currently, many mining companies are utilizing renewable energy to carry out their mining needs. A CoinShares study estimates that in 2019, at least 74% of Bitcoin’s global energy consumption came from renewables, the majority of it from Chinese hydropower. According to the latest research by the Bitcoin Mining Council, the worldwide Bitcoin mining sector is being powered by an estimated 58.5% renewable energy by the fourth quarter of 2021.
While Norway has set a precedent for green Bitcoin mining, its neighbor Sweden has called on the European Union(EU) to ban crypto mining, arguing that it diverts renewable power that could be used to decarbonize other sectors, putting climate targets in jeopardy. Of Norway’s 157 terrawatt hours of power produced per year, 88 percent is from hydroelectric, with wind and thermal force making up the remainder.
China is also considering greener Bitcoin mining as a possible trillion-dollar industry. As more and more countries warm up to the idea of green crypto mining, Netizens are bound to continue debating on the efficiency of ‘Energy Efficient Crypto Mining’.
