One way to demonstrate the enormous profitability of Bitcoin (BTC) mining is by making decisions based on the consumption of renewable energy, leaving fossil fuels aside, which would reinforce the narrative that the activity does not have to harm the environment. environment.
so what suggests the CEO of the American mining company Cleanspark, Zach Bradford, one of the companies linked to the production of bitcoin listed on the New York Stock Exchange.
For Bradford, who was invited to the weekly “Compass Mining” podcast, while it is true that it is cheaper to use fossil fuels to mine cryptocurrencies than to invest in renewable energies, “Bitcoin is positioned in a really unique space” to put into practice that activity.
This, because the rewards that mining leaves allow to enter the use of sources that do not threaten the environment, debunking the criticism that exists around the production of BTC.
I think Bitcoin positions itself in this really unique space where, whether we develop renewable energy ourselves or just sign up to sponsor someone else, we can use renewable energy and we can pay for it. Our rewards are incredible. Everyone knows that Bitcoin mining is incredibly profitable and I think a good way to convey that is by making market-based decisions to select renewable energy.
Zach Bradford, CEO of Cleanspark.
In the United States and other countries in the world there are farms that take advantage of fossil fuel (taken to produce electricity) to mine cryptocurrencies. One case is Hut 8, whose data processing center in Medicine Hat, Canada, it feeds on natural gas to power machinery and generate bitcoinsas explained by CriptoNoticias.
Bradford argues that actions speak louder than words. For this reason, he believes it is important that the use of renewable energy be put into play, taking advantage of its benefits to, for example, pay its employees above average. “We think that’s just as important as choosing our energy,” she noted.
We want to invest in communities, things like that. So all of that becomes sustainable and we think being an example is going to matter. The last thing you want to do is get called in to speak in front of Congress because you’re the bad example. We always want to be on the right side of the narrative.
Zach Bradford, CEO of Cleanspark.
Regarding carbon credits, he agreed that they are positive and are working, but insisted that his company focuses on the use of renewable energy, such as nuclear energy without carbon. “We think it’s much better to choose a free energy source, so that’s what we’ve done.”
He explains that carbon-free nuclear energy is also clean and renewable. Also, he said that they always aim to try to maintain a very high percentage of this type of energy in the first place. “I think there are also some interesting things that will hopefully develop from a market-based approach to create better incentives,” he argued.
An opportunity for the United States
Zach Bradford talked about the migration of Bitcoin miners from China, from the advance of that country against the entire ecosystem. For him, it is a “very good opportunity” for United States (USA), a country that, naturally, is a “very competitive” market.
As is known, after the Chinese onslaught, many miners left for other borders and the North American country quickly became a new destination. There, the activity has diversified and there are already several companies related to mining that are currently operating on US soil.
The entrepreneur says he is hopeful that the regulatory side of the US markets ends up in a good place, allowing the Bitcoin blockchain to “flourish and maintain the independence and value that is created.”
In any case, he does not believe that there are regulations that affect the activity, but he does see that there is the possibility of seeing some big impulses, such as a carbon tax, which, again, would lead to the use of renewable energy.
A tortoise and hare mentality
Belford discussed his company, Cleanspark, which uses mined bitcoins to finance its own expansion, according to stayed reviewed by CriptoNoticias. He acknowledged that, at the moment, it is the fifth or sixth largest miner listed on the stock market by its production. But that, he says, will not limit their ability to catch up with the bigger ones.
“We have really focused, unsurprisingly, on optimizing our energy. Our cost per kilowatt is very low. We are going to focus on speed. I think we’re going to see a big shakeup. We are going to see some miners for some minor sales and it will continue to grow and contact other companies », he said.
It specifies that they seek to have “their eyes wide open” on what Bitcoin mining really is, as an energy reserve. However, it clarifies that the industry doesn’t see it as a technology arms race.
“We think it’s about managing the infrastructure and making decisions with not only the 2024 halving in mind, but also the halving of 2028, making good decisions now so that we are here, mining in 50-100 years”, he pointed out.
That implies, according to what he says, improving the hardware, as well as everything that is needed to mine with quality. “We think it’s about positioning ourselves for those opportunities. We prefer to wait and we believe that patience will pay off, “he said.