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Elon Musk’s Idea to Switch Bitcoin Mining to Green Energy Will Drive Mining Costs Higher: Peter Schiff


u.today 25 May 2021 09:28, UTC
Reading time: ~2 m

In a recent tweet, Elon Musk stated that he had had a meeting with US-based Bitcoin miners and shared positive results of this talk related to their commitment to start using renewable energy.

However, the “regular” Bitcoin opponent Peter Schiff believes this will not help and will only make things worse for Bitcoin and waste of energy overall.

Schiff dismisses Elon Musk’s idea of eco-friendly Bitcoin mining

Head of the Euro Pacific Capital, Peter Schiff, who always opposes Bitcoiners and shills gold as the only store of value out there, has taken to Twitter to have a say against the recent initiative of Elon Musk.

Tesla CEO intends to direct the Bitcoin mining industry (at least in the US) to the tracks of renewable energy.

Musk has tweeted that he has spoken to US-based Bitcoin miners and they promised to disclose details of how they currently use renewable energy for mining and their plans to expand it in the future.

According to Musk’s tweet, US miners have committed to persuading miners worldwide to follow their suit.

The gold bug Schiff, however, responded that these efforts will only make things worse for Bitcoin and its status of a currency.

In particular, the Euro Pacific Capital CEO mentioned “even higher” costs of Bitcoin mining and an increase of energy usage.

Barry Silbert allows for theory there's one company spreading the energy FUD

Barry Silbert, head of the Digital Currency Group, parent company of Grayscale and the mining pool Foundry US, did not mention having talked to Musk, nor did the Tesla CEO tweeted about having met Silbert about Bitcoin mining business.

Curiously, in his earlier tweet, Silbert wrote that potentially there might be one company standing behind the current energy Bitcoin FUD (fear, uncertainty, doubt). He did not name any specific "suspects" though.

CSO of Coinshares, Meltem Demirors, has recently said that this company is Ripple Labs but Brad Garlinghouse denied it.

China cracks down on Bitcoin miners

As reported by U.Today earlier, the Chinese government has made another call for cracking down on the Bitcoin mining industry in the country.

That news made Bitcoin plunge twelve percent and then plummeted further, hitting the $30,000 level (price mark unseen since the start of the year) and BTC miners have started their exodus from China.

Earlier still, the People’s Republic of China announced that starting from 2026, all high energy-consuming projects will be banned since the country wants to focus on reducing its carbon footprint.

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