Why crypto-winter is a good antidote to global warming – 24/7 Wall St.
By David Callaway, Callaway Climate Analytics
(Mark Hulbert, author and longtime investment columnist, is the founder of the Hulbert Financial Digest; his investment newsletter Hulbert Ratings audits returns.)
CHAPEL HILL, NC (Callaway Climate Insights) — Falling Bitcoin prices could lead to more renewable energy production.
It’s anything but obvious, so follow it. Falling prices will force many previously profitable crypto mining operations to find cheaper power sources or shut down. Yet, just as this need for cheaper energy grows, conventional sources of electricity become more expensive.
Renewable energy is the obvious alternative. The marginal cost of energy produced by solar, wind or hydropower is extremely low.
Certainly, few imagine that crypto mining is good for the climate, even when powered by renewable energy. But it’s possible that crypto mining could turn otherwise marginal solar, wind, and hydro projects into solidly profitable operations, catalyzing the creation of more such projects than would otherwise have been the case.
This is not just a theoretical possibility, as I will discuss in a minute. . . .
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