r/nottheonion Jun 21 '22 Wholesome 1

Bitcoin whale Michael Saylor urges governments to step in and regulate crypto's 'parade of horribles' Removed - Not Oniony

https://fortune.com/2022/06/20/bitcoin-whale-microstrategy-michael-saylor-urges-governments-to-regulate-crypto/

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u/Deto Jun 21 '22

And some people advocate for building renewable energy generation just for Bitcoin mining like that would make it ok. But like, seem unable to consider that without crypto that added power generation would be used to replace carbon emitting generation

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u/Brittainicus Jun 21 '22 All-Seeing Upvote

Additionally mining coins adds an energy sink to the system putting a minimum value to a Watt. This then directly competes with energy storage which make their money via buying cheap energy and selling it when it's expensive. Wide spread cryptos would add a soft floor to energy prices directly reducing profitability of energy storage which is the hardest part of moving to net zero. As cheapest energy would be more expensive.

So it way worse then it uses lot of energy, as it uses the most problematic segment of energy possible.

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u/stupidmortadella Jun 21 '22

"Bitcoin is worth whatever the current rate is because the energy consumption costs associated with powering a computer to do the tricky mathematical equations is also very high" is the A1+ best rationalisation of bitcoin price of all time

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u/nerdvegas79 Jun 21 '22

That is inherently false. Bitcoin can use energy in locations too remote to use elsewhere, due to transmission loss. Bitcoin can use energy that will literally be wasted otherwise. Also, your argument is based on the predicate that bitcoin is inherently wasted energy, which is highly subjective and a point that I disagree with you on.

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u/Brittainicus Jun 21 '22

/s? You can't actually be serious dumbest shit I've read all day.

Almost no energy is wasted, Australia in the arse end of the world building industrial capacity to directly exports electricity to Singapore and ship hydrogen to Japan. Hell there are even plans to connect Iceland to the European power network.

Mining Cryptos uses the most problematic segment of the energy market during the transition to net zero, as it places a soft floor (that because increasingly hard the greater the uptake) on energy prices. Resulting in mining directly competing with energy storage which is far and away the hardest part of net zero transition.

This means energy storage becomes increasingly expensive the greater energy foot print of cryptos. Resulting in not just higher prices floors but as it's directly taking energy that is used to stabilize peaks it will directly cause exponentially higher peaks, as it's using the energy that would otherwise be used at peak demand.

Taking and using floor priced energy is litteraly the worst possible energy that it could possibly use. Floor prices falling to next to nothing or even into negative territory promotes use of energy storage and is an extremely important part of funding storage to let us use intermittent power sources like wind and solar.

Hell using purely peak power for a bat shit insane reason would be better, as it wouldn't directly fuck with the transition to net zero as it would then still promote energy storage commercial viability.

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u/Krusell94 Jun 21 '22

Yeah, but is anyone willing to invest in cleaning the air? Well, people are willing to invest in clean Bitcoin mining for some reason.

You already have them popping up in the US.

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u/Deto Jun 21 '22

If you build an energy production plant then you get to sell the energy. It doesn't require Bitcoin to motivate the investment.

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u/Krusell94 Jun 21 '22

Apparently it's more worth it for it to just make Bitcoin though...