President and Founder of Melanion Capital, Jad Comair, discusses the sustainability of Bitcoin Mining, the use of renewable energies, and the industry’s future in a round table organized by the Institut Louis Bachelier, alongside distinguished hosts: Pierre Noizat, Louis Bertucci and Hector Calvo-Pardo.
Here is a quick review of what has been discussed:
In the beginning, the economist Hector Calvo-Pardo discussed the feasibility of measuring the actual energy consumption used in the mining process by installing dedicated hardware and computers. The more connected miners are to these computers the higher the consumption of power. And highlighted the fact that environmental impact of bitcoin mining in terms of global greenhouse gas emissions is extremely low.
Afterwards, Pierre Noizat, CEO of Premium, explained the relationship between energy and Bitcoin mining where Bitcoin miners are incentivized to go after the cheapest energy on earth. In Bitcoin mining, we transform some energy surplus into a piece of information, so energy is not wasted. In other words, surplus only comes from renewables and renewable energy is a flow of energy or stock of energy which is fossil energy.
Jad Comair, CEO of Melanion Capital, added that if we take the hypothesis that bitcoin is valuable then bitcoin mining is the most sustainable industry because the incentive of every bitcoin miner is to make the highest profit by searching for the cheapest energy price which is represented by renewables. He mentioned as well that Bitcoin miners are expanding in the US after being mainly located in China, where they can create more facilities for renewable energy. He also discussed the geographical trend of bitcoin miners, and how mining farms can improve the stability of a grid and can adjust the amount of electricity they use to accommodate people’s needs and overall demand
Watch the full interview as many crypto topics were discussed as well after answering questions addressed by the audience.