Square’s Jack Dorsey and Tesla’s Elon Musk agree that Bitcoin extractors can support the efficiency of the renewable energy industry by acting as an electricity purchaser of last resort. The two of the most important supporters of cryptocurrency have sought to make the case for the environmental efficiency of Bitcoin with a collaborative paper.
Jack Dorsey And Elon Musk Agree Bitcoin Can Support The Renewable Energy Industry
The collaborative paper from the researchers at the financial services companies such as Square and Ark Invest asserted that Bitcoin extracting can drive surged efficiency in the production of renewable energy.
Authored by The Bitcoin Clean Energy Initiative or BCEI, the Paper looks forward to counter the claim that says:
“the computation required to secure Bitcoin […] is environmentally damaging and ruining the planet.”
Moreover, the paper argued that the extraction of Bitcoin stimulates the generation of electricity from renewable carbon-free sources.
In addition to this, it should also be known that the paper has gained support from leading crypto dignitaries including Ark Invest’s Cathie Wood, Tesla’s Elon Musk, and Square’s Jack Dorsey.
In a tweet shared by Square on April 22, the firm was arguing that while solar and wind can produce energy comparatively cheaper than fossil fuels, they can typically produce an extra supply of energy.
In times when the demand is low and contrarily struggle to meet the needs of the industry as well as the consumers when the demand is high.
In accordance with the researchers, the issue of differing renewable production and the demand for electricity could be alleviated by building an ecosystem:
“where solar/wind, batteries, and Bitcoin mining co-exist to form a green grid that runs almost exclusively on renewable energy.”
Also, it said:
“Not only is this doable, but it is also doable without jeopardizing the sector’s profitability.”
Combining Bitcoin With Renewable Energy
As described in the paper, the Bitcoin extracting sector is an energy purchaser of last resort that can be located anywhere in the world.
Asserting the geographical restrictions of renewable power plans, the paper said:
“The end result is significantly more power than society typically needs for a few hours per day and not nearly enough when demand spikes. This challenge also plays out seasonally.”
Mati Greenspan, a popular analyst described the report as justifying the massive energy consumption by Bitcoin and argued:
“The main focus of the paper doesn’t seem to seek out solutions so much as justify Bitcoin’s massive energy consumption and paint a rosy picture of how it might positively impact the clean energy sector.”