By Darren Parkin
Bitcoin could help towards mitigating the climate change emergency that is currently manifesting itself as extreme heatwaves across the northern hemisphere, according to new analysis.
Both the US and China saw the mercury rising beyond 50C on Sunday, and southern Europe is bracing for the all-time records to be broken.
And while many crypto naysayers point a finger of blame towards the electricity consumption racked up by Bitcoin mining operations, the CEO of one of the world’s largest independent financial advisory organisations believes the flagship digital asset could have a positive role to play in the climate crisis.
Analysis from deVere Group chief Nigel Green claims that, amid the global climate change emergency, Bitcoin was emerging as a surprising contender for a potential solution.
“Contrary to belief in some quarters, this revolutionary digital currency has the capacity to drive positive change and aid in the fight against climate change,” said Green.
“With its unique characteristics and transformative potential, Bitcoin is positioned to play a crucial role in transitioning to a more sustainable and eco-friendly future.”
The finance expert explained that an often-overlooked point is that Bitcoin mining could actually speed up the transition from fossil fuels to renewables.
“Clearly, clean energy is the way forward, but their sources are sometimes irregular and there’s not enough storage capacity for when these sources generate excess energy,” he said.
“Bitcoin miners, who need huge amounts of energy, could act as major buyers of last resort, providing substantial profit for investment and expansion. This would then enhance the renewables supply, which would go on to bring down prices for consumers and further drive demand.”
He also stressed the promotion of financial inclusion, claiming Bitcoin has the potential to enhance financial inclusion for underserved populations around the world. He believes that, by providing individuals with access to digital currencies and blockchain-based financial services, Bitcoin can empower the unbanked and foster economic growth in marginalised communities.
“This increased access to financial resources enables individuals to invest in sustainable practices and contribute to climate change mitigation,” Green explained.
“While no monetary system or investment is perfect, and the crypto ecosystem can still improve in many ways, the argument that digital currencies cannot necessarily form part of a climate change mitigation strategy does not stand-up to scrutiny.
“Indeed, as the emergency intensifies, we must use every weapon at our disposal to fight it – and Bitcoin is one of them.”
