- Bitcoin will survive despite the recent criticisms surrounding the network’s environmental impact, Iris Energy Pty says.
- The cryptocurrency space has been the subject of debate in recent weeks after Tesla halted Bitcoin payments, citing environmental concerns.
- Bitcoin’s price has plummeted this month, which could be an indicator that institutional investors are losing interest in the asset.
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Despite the increasing number of criticisms regarding Bitcoin’s environmental impact, Iris Energy Pty thinks the asset is here to stay.
The Bitcoin Energy Debate
Environmental debates will not kill Bitcoin, Iris Energy Pty has said.
The Australian mining company, which uses renewable energy for its operations, spoke to Bloomberg amid ongoing discussions over Bitcoin’s environmental impact. Daniel Roberts, the company’s co-founder, remarked that Bitcoin requires a high level of energy for security because the market has determined that it is valuable. He said:
“I don’t think it’s up to any individual to decide where energy should be used. It’s a market-based decision where Bitcoin, by virtue of the attraction and adoption it’s gained, is commanding that level of energy to secure it, to secure people’s savings.”
Bitcoin has faced increased scrutiny in recent weeks after Tesla announced that it would stop accepting payments in the asset owing to environmental concerns. The electric car company’s shock U-turn contributed to a major sell-off that’s seen Bitcoin tumble 43% off record highs recorded in April. An ongoing regulatory crackdown in China has also contributed to the market-wide negative sentiment in recent weeks.
Bitcoin critics often point out that the network uses roughly 115 terawatt-hours of energy annually, which is more than most of the world’s countries. Many analysts have suggested that growing ESG (Environmental, Social & Governance) concerns could be a major factor preventing big…