Crypto Global: Nic Carter and other Pro-Bitcoiners Fight Climate Impact Narrative in New Paper.
Nic Carter, other pro-Bitcoiners fight climate impact narrative in new paper

Bitcoin Mining as a Tool for Clean Energy

Crypto advocates and the former president of ERCOT, the operator of Texas’ electrical grid, have argued in a new working paper that Bitcoin mining can be a “critical tool” for clean energy and balancing the grid. The paper, titled “Leveraging Bitcoin Miners as Flexible Load Resources for Power System Stability and Efficiency”, highlights the inherent interruptibility and swift load response capabilities of Bitcoin mining, which can enhance grid flexibility to better integrate variable renewable energy sources.

Authors of the paper, which include Castle Island Ventures partner Nic Carter, Satoshi Action Fund CEO Dennis Porter and Science Advisor Murray Rudd, as well as the late former ERCOT President and CEO Brad Jones and Executive vice president of power at Houston-based tech company Lancium, Shaun Connell, provide case studies of Bitcoin miners participating in demand response programs and providing grid services in Texas.

Crypto Projects and Their Impact on the Grid

The findings of a paper suggest that Bitcoin miners can be a part of demand response, providing both technical and economic stability to the grid. This view is in contrast to the arguments of anti-crypto politicians who have blamed Bitcoin miners for high energy usage and loads on grids.

In October 2022, Senator Warren and six other Democrats requested information from ERCOT regarding the amount of electricity used for Bitcoin mining operations. The Senator has also previously criticized New York mining firm Greenidge Generation, claiming that a “crackdown on environmentally wasteful cryptocurrencies” would help fight the climate crisis.

Marshall Long, a Bitcoin mining pioneer, responded to Senator Warren’s claims by tagging her in a retweet of the paper, saying “The people who RUN the grids say you’re wrong.”

Crypto Projects and Clean Energy Usage

The effects of Bitcoin on global energy demand and climate change are complex, but recent data suggests it may be more nuanced than previously thought.

A Cornell University study recently revealed how Bitcoin mining can be beneficial for wind and solar projects during their pre-commercial development phases.

In July, Cointelegraph reported that crypto projects are becoming more sustainable through hydro-cooling farms and associated petroleum gas. Furthermore, in September it was announced that Bitcoin clean energy usage had surpassed 50%.

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