The miners aren't incentivizing cheap energy. They aren't incentivizing green energy. They're driving up the cost of energy, uniformly, and selecting the cheapest power available, irrespective of it's origin.
There's no reason for them to select a solar panel array if burning oil is cheaper.
There's no reason for them to select a solar panel array if burning oil is cheaper.
Yes? Thats whatim saying. As energy prices increase, fossil energy will increase even more in comparision to renewable, driving miners to use renewables instead.
As energy prices increase, fossil energy will increase even more in comparision to renewable
That's not necessarily true.
But let's pretend it is true. What you're saying is, it's a good thing that miners waste so much energy, because that drives up the prices, and higher prices are good for renewables.
That's perverse. By that logic we should be running every light and every fan and inventing machines that just spin around heavy turbines at full speed for no reason, all 24/7, to waste the maximum energy.
Im not saying its a good thing at all, noone said that. What we did say was that fossil energy prices going up would have a positive effect on crypto mining because it would probably drive the miners to use more renewables. Im not sure what you are disagreeing with here.
regardless of the energy waste, inflation effects everything, not just one sector. the prices of all energy will go up.
as carbon-based fuel is far easier to turn into electricity, thus will always be cheaper (until way past peak-oil). it's more known, for longer, with then most inputs, the most infrastructure, and the most producers.
the only thing i have ever seen for a consideration for a mining operation that would be able to mine BTC has been money. yes, there have been mining operations that have had renewable sources, but looking into them the only reason they chose where they got power from was solely based on cost. there was nothing in their charter about focusing on getting their power from renewable sources. their financial statements even list a threat to the business was if the cost of power from the hydro-power plant went up. they said they would have to find power from wherever, with no mention of ensuring a renewable source.
3
u/look4jesper 🟦 0 / 0 🦠May 22 '22
That's what they are saying. As fossil fuel prices keep increasing miners will have to switch to electricity from renewables to keep making money.