Information technology development has changed the world not only in terms of the depth and speed of people's interaction. It has somewhat expanded the list of ways to achieve wealth and glory, which for many is a goal rather than a consequence of creative activity. The flip side of the digital revolution is the insane, inescapable information noise. Exabytes of useless information is one of the main features of our time. While money used to be quiet, noise has now become a source of income or monetized popularity. The number of subscribers today is more important than specialization in any area. Now whoever has a wider audience is the expert.
Just like before, however, only a select few gain wealth and glory, and the less fortunate have no choice but to dwell on their own significance. Popular issues that you can assume a staunch position on, are best suited for this purpose. If a discussion was initiated by someone well known and rich, participation becomes the most fertile ground for demonstrating one’s significance. This way many questions that could be answered by two or three real experts turn into endless "pro" and "contra" confrontations.
One of the most debated and manipulated issues of 2021 was the discussion of Bitcoin in terms of the energy consumed in its mining and the associated harmful carbon footprint. It all started with Elon Musk’s tweet.
There is no doubt that Musk had his own reasons for making this post i.e., to justify his inability at this stage to accept Bitcoins as payment with no regard for SEC's opinion. However, it’s very interesting to observe the enthusiasm for this idea and how quickly it took on its own life. The evolution of this issue from a tweet into a global problem in a matter of months best demonstrates how many people today are willing to engage in a debate without any justification, especially if the opinion leader is Elon Musk. At the same time, there was nothing to prevent them from being just as scrupulous a couple of years before the tweet, when the same question was just as relevant, but only experts were dealing with it.
(Study on the renewable energy penetration in mining in 2018)
Today, the media is flooded with quotes from the new "experts":
“Bitcoin alone consumes as much electricity as a medium-sized European country,” says Professor Brian Lucey at Trinity College Dublin. “This is a stunning amount of electricity. It’s a dirty business. It’s a dirty currency.” (https://www.ft.com/content/1aecb2db-8f61-427c-a413-3b929291c8ac)
In many articles and studies, Bitcoin has become a frequent guest in the energy consumption ratings of various countries, surpassing many countries, including the Netherlands, in this indicator.
University of Cambridge report
On the other hand, comparing Bitcoin with countries is not always correct, and it’s more meaningful to compare global industries, which Bitcoin undoubtedly is. For instance, here is a comparison of the energy consumption of the entire global banking sector, the gold mining industry and mining:
Galaxy Digital report
It is hard to imagine that anyone would ever fight gold mining, much less the banking sector, with as much zeal. No one really cares how much a particular industry contributes to global energy consumption. Everyone cares how to demonstrate significance and awareness of issues that are actually where no one understands anything. At the same time, here is the result of the FT study:
Approximately the same distribution is provided in the IEA (International Energy Agency) study, but globally, and not exclusively for mining. Up to 40% of the world's capacity is accounted for by renewable energy sources.
It is no secret that the choice of a particular source of electricity both in Bitcoin mining and in any other industry is primarily due to the proximity and availability of this source to the enterprise, but not the consumer’s intentions. Therefore, the share of renewable energy in Bitcoin mining will always be close in volume to its share in the global context. Thus, the carbon footprint of mining is not a problem of mining, but rather a problem of the state of the entire electrical power generation industry as a whole. The closer the global energy sector is to nature, the closer all industries, including Bitcoin, gold mining and even the banking sector, will be.
However, each project is free to choose the energy sources that will make it the most profitable. As it happens, there are many hydroelectric plants in the north of Russia that are not working at full capacity. Along with the cold climate, this gives a great opportunity to set up mining there. This is how the Minto project, which is based on renewable energy, appeared. Minto’s eco-friendliness was the result of circumstances and a conscious team choice based on the specific business case. Renewable energy has proven to be the best way to reduce costs and achieve one of the highest profitability indicators in the tokenized hashrate segment.
It's nice to know that despite the constantly changing state of our world, some things remain unchanged. In particular, it's always better to be doing something while others are talking. The discussion about Bitcoin mining will continue, but regardless of its intensity, the Minto project already provides its customers with daily rewards in Bitcoins that are mined using renewable energy sources.
Over time, dirty technologies will be naturally forced out of the energy sector, and discussions on this issue will subside. However, those who act regardless of information noise, guided by knowledge and common sense, will always be ahead. Minto made the right move long before Elon Musk’s tweet, which means it is not affected by the manipulation of public opinion. This is what most successful projects do, regardless of the segment. Success is a combination of expertise, hard work and luck. With these three project ingredients, its clients or shareholders will always be ahead of those who waste time on meaningless discussions.