Elon Musk has said his company Tesla will possibly start accepting bitcoin in purchases for vehicles again.
“It seems that bitcoin is going a lot more toward renewables and many of the heavy coal plants that were used before…have been stopped, especially inside China,” said Musk this week at The B-Word conference, a virtual event put on by the Crypto Council.
“I want to do some more due diligence to be sure that the ratio of renewables is near or higher than 50% and there is a movement toward growing that number. If this is the case, Tesla will very likely continue accepting bitcoin,” he said.
In May, Musk revealed on Twitter that his company would stop vehicle purchases being made using bitcoin out of worries over the “quickly increasing use of fossil fuels for the mining of Bitcoin.”
Since then, China has cracked down on cryptocurrencies, removing the nation’s crypto miners, who have since started to go elsewhere. New numbers from Cambridge University reveal many miners are going to the U.S., which is now the 2nd largest destination for the globe’s bitcoin miners.
The United States features some of the cheapest sources of energy in the world, which, a lot of the time, are renewable. Fred Thiel from Marathon Digital predicted that most miners new to the nation will be fueled by renewables, or gas which is offset by renewable energy sources, and Compass executive Whit Gibbs predicted that bitcoin mining in the country is over 50% fueled by renewables.
“Renewable energy is long-term the cheapest energy source, but it does not just happen overnight,” Musk said. “But if there is a determined, conscious and real effort by the Bitcoin mining community to move to renewables, then Tesla can of course back that.”
This comes at a time when Bitcoin has taken a major fall, only to regain some of its lost territory. With both bulls and bears watching the chart awaiting its next move. Other cryptocurrencies like Ether and Doge coin have followed in Bitcoin’s footsteps by dipping and regaining this week.
Bitcoin was selling almost 8% higher this week.
Author: Scott Dowdy