The Ledger: Should countries ban non-eco crypto mining?

Both crypto operators and environmentalists welcomed the news that New York State has decided to ban non-renewable sources of energy as the means to cater to crypto mining’s energy needs.

The crypto lobby was happy to see a bill that would not suspend crypto mining in its entirety but limit it in what is considered its most harmful capacity, that is, consuming high amounts of fossil fuels to meet its energy demands.

Originally, a three-year full ban was planned, but that was swapped out with an amended bill that allows companies to continue mining provided they derive their energy from renewable sources.

Suspending crypto mining in one of the most economically important states would have been too much, but having any regulation focus just on the financial side of crypto is also impractical.

A common gripe in the crypto lobby has been the lack of regulation and clarity, blocking the adoption of crypto at a greater scale. However, New York’s Senate has set an important precedent – that regulation should also concern itself with the environmental impact cryptocurrencies have. The time seems to be right.

Spike in demand for carbon neutral bitcoin

It’s not just about slashing emissions anymore. The word is that miners are looking for a way to make bitcoin carbon neutral. A report by One River Digital Asset Management has shown an increased demand for that type of product.

In fact, One River has a new carbon-neutral share class to meet this demand. The company has decided to facilitate the search for investors who are looking to place their funds in “green assets”. One River’s carbon-neutral investment tools are just a start, and they reflect a growing pressure from consumers who expect companies to live up to the goals they set for themselves.

A recent example is Tesla’s short spell with bitcoin, which came to an end as environmental concerns continued to grow and critics lined up to criticize the car maker’s move and question whether it was in line with the “green future policy” it has set for itself.

Naturally, adopting greener power sources and currencies is always an option, but it shouldn’t be the full story.

Will crypto be carbon neutral?

The short answer is it must be. Adding to environmental woes would become a harder way to justify any economic activity regardless of its touted upsides in future. Having bitcoin mining use as much energy as entire countries is not ideal, and currencies are proliferating.

Ethereum has been trying to shed the power-hungry proof-of-work (PoW) model for years. However, to enable mass adoption of greener policies, countries should look for quicker adoption of laws on a state level that call on miners to find greener ways to sustain their operations.

Because PoW cryptocurrencies will be here for some time to come, finding carbon-neutral ways to power them would have an immediate impact on meeting our carbon goals.

However, while consumer consciousness is always a good way to get involved, these things must be inscribed into law at the very top.

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Written by Barney

Co-founder

Barney is co-founder of CryptoGamblingNews.com. When not at work he can usually be found behind a Nikon. He's won numerous international competitions for his photography and volunteers as a content creator for aid organisations in Africa.

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