Greenidge Generation Holdings, which is operated by Bitcoin (BTC) mining using electricity generated by natural gas, purchased carbon dioxide (CO2) emission allowances from June 1st, and mining equipment. Work to reduce CO2 emissions.
The company said it would invest in a greenhouse gas reduction project to offset 100% of the CO2 emissions of mining equipment. The company will also invest some of its mining profits in a renewable energy project in New York, according to a statement released yesterday. The company owns a 40-megawatt natural gas power plant.
Criticism of mining facility expansion plan
Greenwich, which plans to go public through the merger, was criticized last month for announcing plans to expand its Bitcoin mining facility in northern New York. In addition to the natural gas power plants that emit CO2, the power source used for Bitcoin mining, cooling systems can affect local lakes, environmental groups point out.
“Each project is reviewed and certified by one of the American Carbon Registry (ACR), Climate Action Reserve (CAR), or Vera’s CO2 emission reduction projects. The projects we fund are realistic. It is guaranteed to reduce or increase greenhouse gas emissions in a permanent and verifiable way. ”(Released by the company)
Greenwich’s efforts are one of the intensifying debates and efforts over Bitcoin’s CO2 emissions. Bitcoin mining, which consumes a lot of energy, has been criticized for unnecessarily contributing to the climate crisis. On the other hand, Bitcoin supporters argue that Bitcoin’s CO2 emissions are insignificant in terms of global CO2 emissions.
“All miners should emulate Greenwich and buy emissions credits. Emissions credits are an efficient tool to solve this problem,” said a partner at Castle Island Ventures, commenting on the mining debate. Nick Carter said.
Discussions and initiatives regarding CO2 emissions
There is a lot of news about Bitcoin’s energy consumption.
For example, the Chinese government has begun measures to crack down on coal mining in Inner Mongolia. Coal is known for its high CO2 emissions.
Last week, Tesla CEO Elon Musk announced that he would stop paying for Bitcoin when buying a Tesla car because of environmental concerns. “If mining moves to more sustainable energy,” Musk said the company would revisit Bitcoin.
In the midst of these movements, some North American miners have begun to shift their energy sources to 100% renewable energy. “Crypto Carbon Accord” was created in May, and an increasing number of companies are supporting efforts to make crypto asset mining carbon-neutral by 2040.
Depending on the time of year, 36-76% of the energy used for Bitcoin mining is renewable energy. Currently, Chinese miners are moving from the coal-rich Xinjiang Uygur Autonomous Region to Sichuan Province, where hydroelectric power is thriving.
｜ Translation: coindesk JAPAN
｜ Editing: Takayuki Masuda, Shigeru Sato
｜ Image: Greenidge’s mining machines (Caleb Parker)
｜ Original: Upstate NY Bitcoin Miner Greenidge to Offset Rigs’ Carbon Emissions