- Bitcoin mining’s energy consumption predominantly comes from sustainable sources, crossing the 50% mark.
- Tesla, which had earlier stopped BTC payments due to environmental concerns, might reconsider its stance following the shift towards cleaner energy in Bitcoin mining.
In a world constantly evolving towards greener solutions, the cryptocurrency realm seems to be catching up. As per a report shared on X (previously known as Twitter), Bloomberg analyst Jamie Coutts revealed an exciting development regarding Bitcoin’s environmental footprint. According to the recent analysis, over 50% of the energy utilized in Bitcoin mining is sourced from renewables. This significant shift was highlighted in the Cointelegraph report on Bloomberg analyst reports by Jamie Coutts CMT wherein he mentioned,
Sustainable Energy Sources Rise >50%
👉Falling emissions plus a dramatically rising hash rate can only mean one thing; Bitcoin mining is consuming more sustainable energy in its mix. pic.twitter.com/AGXrKWDWuI— Jamie Coutts CMT (@Jamie1Coutts) September 14, 2023
Decentralization and Renewable Adoption
Bitcoin mining’s clean energy shift has multiple driving forces. The stringent mining ban imposed by China in 2021 led to a dispersal of miners to other nations. Many of these countries, rich in renewable resources, have started leveraging sustainable energy sources for mining. Moreover, some nations are diving into mining as a strategy to monetize their stranded and surplus energy.
Prominent countries actively engaging in Bitcoin mining now include El Salvador, the first country to recognize Bitcoin as legal tender, along with Bhutan, Oman, and the United Arab Emirates. With the energy benchmark now surpassing the 50% threshold, there’s speculation about increased Bitcoin adoption by some of the globe’s significant corporate giants.
Tesla and Bitcoin: A Renewed Relationship?
Back in May 2021, Elon Musk, the multifaceted entrepreneur helming ventures like Tesla and SpaceX, publicly announced Tesla’s decision to halt Bitcoin payments. The predominant concern was the “rapidly increasing use of fossil fuels for Bitcoin mining and transactions.
“Elon had then laid down a condition – Tesla would reconsider Bitcoin payments once the energy consumption from renewables touched 50%, hinting at a “positive future trend.”
While this significant milestone appears to have been met, there’s still no official word from Musk about reinstating Bitcoin payments for Tesla. For Bitcoin enthusiasts and environmentalists alike, this shift towards greener energy consumption offers hope. As of now, Bitcoin’s value stands at $26,572, marking an upward trajectory with over 2% growth in the past week.