Home
News
As the world is moving towards carbon neutrality, the administrations of several nations are taking decisions wisely to reduce greenhouse gas emissions. In the recent G20 summit, the United States reacted to this matter and stated it would achieve zero greenhouse gas emissions around mid-century. Recently the governor of New York signed a law to ban certain Bitcoin companies currently working on carbon-based power sources.
The New York government has started working on net zero carbon emission, and has taken the decision to ban Bitcoin mining entities for the next two years until Proof-of-Work (PoW) based mining companies use 100% renewable energy. Kathy Hochul, the governor of New York, stated that permits would not be renewed unless the Bitcoin mining companies adopt a renewable energy system.
In New York, many Bitcoin miners utilize Proof-of-Work technology to verify user transactions. It requires a vast number of computers that results in a large amount of electricity consumption. As per the reports, Bitcoin mining is utilizing nearly 115 terawatt-hours of electricity annually, resulting in 56 tons of carbon production in the nation.
Why Bitcoin Mining Entity Owners Are Against The New Law
As per the data, most Bitcoin mining companies are in the United States. In January 2022, the nation hosted nearly 38% of the world’s Bitcoin mining. Bitcoin mining owners said a ban on PoW mining would impact the crypto industry in the United States.
The CEO of an institutional-grade Bitcoin mining company stated that “the regulatory environment in New York will not halt their target carbon-based fuel Proof-of-Work mining but will also likely discourage new renewable-based miners from doing business with the state due to the possibility of more regulatory creep.”
Galaxy Digital Revealed that Bitcoin Mining Firms accounted for 68% Of Carbon Emissions
For the first time, the New York-based financial services and investment management company Galaxy Digital conducted a sustainability report, revealing that 68% of carbon emissions are emitted from its Bitcoin mining firms. In 2021, the company announced that Galaxy Digital had decided to provide financial services and products to Bitcoin miners. Apart from that, the company started its own Bitcoin mining operation.
Galaxy was one of the founders of the Bitcoin Mining Council (BMC). It collaborates with BMC to promote sustainable energy use and assist individuals involved in Bitcoin mining.
In a press conference, the founder and CEO of Galaxy Digital, Michael Novogratz, stated, “One might think it’s strange that we are focused on a sustainability report in the midst of what I would call a class 3 hurricane.”
Top Eco-Friendly Crypto Platforms Are
- Cardano
- Solana
- Dash 2 Trade
- Calvaria
- IMPT.io
- RobotEra
- Ripple
With a background in journalism, Ritika Sharma has worked with many reputed media firms focusing on general news such as politics and crime. She joined The Coin Republic as a reporter for crypto, and found a great passion for cryptocurrency, Web3, NFTs and other digital assets. She spends a lot of time researching and delving deeper into these concepts around the clock, and is a strong advocate for women in STEM.
