A Threat To The Public

There's a lot of fud that's going on Surrounding the US government and Bitcoin mining a department of energy Survey to collect data about crypto's Energy consumption could be used to Justify the stance that blockchain poses A public harm the US Department of Energy is taking a closer look at Bitcoin mining is this the cause for or Is this cause for alarm more Specifically the Energy Information Administration a statistics agency under The doe will survey electricity use of Selected us-based miners over the coming 6 months starting next week after Putting out an quote emergency Collection of data request end quote This is an excerpt from the node Newsletter a daily Roundup of the most Pivotable pivotal crypto crypto news on Coindesk and Beyond you can subscribe Here blah blah blah so given the Phrasing of an emergency order and the Current administration's crypto critical Stance many are worrying that the Information collected will be used to Inform potentially harmful policies to The mining industry in its public filing The eia cites the possibility of public Harm from crypto mining for collecting Data and if you think this is a single Pronged attack from the federal Government oh are you wrong we have Time Magazine going around interviewing the

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Residents of towns with throughout Texas Coming up with some very dirty stuff We're going to be talking about here in Just a second and it it's get getting to The point to where it is a it is Definitely an effort across the board to Demonize cryptocurrency mining now like I've said in the past the reason for This is because there's very little Control that a government can have Specifically over Bitcoin mining H as it Pertains to the amount of power the Problem from a US perspective and I Think from a US security perspective uh Is that if the US doesn't actually kind Of foster Innovation surrounding Cryptocurrency mining we will be at a Significant disadvantage on a global Scale con compared to other countries That are fostering it such as Russia so That goes back of course to talking About the uh the Bitcoin or softw War Book which you can check out on or used To be able to check out on Amazon but That's now gotten of course uh stifled And and muted uh but let's continue on Right so eia is policy neutral agency That does not create policy Implement Policy enforce policy or comment on Policy EA spokesperson Morgan Butterfield told Coindesk and emailed responses quote Results from the data we collect will Help inform our path forward regarding a

Regular three-year clearance during the Next 6 months but being policy neutral Doesn't necessarily mean the survey Won't influence policy there's a reason There's reason enough to believe that Simply by running this survey the eia is Asking questions questions about the Larger purpose of Bitcoin and whether It's it benefits society and already has An answer in mind for instance the Justification for the emergency order Granted by the Office of Management and Budget was the recent crypto price rally Which saw Bitcoin climb over 50% in a Matter of months which the eia said Would quote incentivize more crypto Mining activity which in turn increases Electricity consumption now that is true To a certain extent but what else does It Foster it definitely Fosters of Course better efficiency and more Efficient hardware and miners that are Looking to capitalize on creating more Efficiency and so really at the end of The day there's additional factors here That they're not taking into account Like the factor of Renewables and the Incentives that if you set those Incentives up for cryptocurrency miners They will push towards that but the Incentive structures really just haven't Been put in place to incent iviz miners To push towards that by and large while There's lots of talks surrounding of

Course incentivizing more renewable and Cleaner energy sources that it's just Not something that's taking place at the End of the day though efficiency is Still king and you still see release of New miners that indicate that we are Getting more and more efficient on the Network I suppose you could say that Depending on the price of cryptocurrency Less efficient Hardware can still be Profitable which is definitely argument That I would see being valid but the Overarching theme Here is to become more Efficient and use cheaper energy for Cryptocurrency mining which should be Meaning that we are pushing in the Correct direction and we are being Stifled by Policies in the long run to actually Push to a more efficient method of Cryptocurrency mining the other thing That we're completely missing here here Is the validity of power and the Increase of power capacity directly Relating to the success of the E economy Economy there we go for specific Nations Meaning that the more power a nation is Able to utilize and the more efficient They are at utilizing that power the Stronger the economy for that nation is So you should push to utilizing more Power in a more efficient manner And Bitcoin is the actual driver for That that would push that and make

Nations stronger economically in the end For instance the justification for the Emergency or we already did that sorry Given the emerging and rapidly changing Nature of this Issue because we cannot quantitatively Assess the likelihood of public harm eia Feels a sense of urgency to generate Credible data that would provide insight Into into this unfolding issue it said Butterfield said 82 firms operating Approximately 150 facilities were Selected to represent the quote Universe Of cryptocurrency companies end quote Across the country the agency pointed to A cold snap that hit platsburg in 2018 To justify the risks crypto poses to the Public the combined effects of increased Crypto Mining and stressed electricity Systems create heightened uncertainty in Electric power markets which could Result in demand Peaks that affect System operations and consumer prices And quote it wrote once again missing The entire point because at the End of the day as you guys are well Aware there is something called Curtailment and there are curtailment Incentives for crypto cryptocurrency Miners in fact it's one of the few Industries where this is actually Possible at all whereas traditional data Centers need to have 100% uptime Cryptocurrency mining Farms do not so if

You provide incentive structure rur to Provide load back to the grid then you Actually balance out your load more Effectively and it is a positive to the General public in surrounding areas and This is something that has been started To be implemented across urot in the Texas side of things to where now you Can curtail that load in fact there have Been many instances just here in the Past few weeks where large mining firms In Texas have been C curtailing when There was high energy demand and that Prevents basically the the the price Right and of of energy going up for the Public and prevents blackouts brown outs And so on so while you can frame it in The way that they're trying to frame it Here which is there's increased load on The grid thereby being a bad thing Because if you have increased load then You have a higher cost for load and blah Blah blah on the flip side it's actually Ends up being being a positive thing Because it's the only only industry that Is really capable of the curtailment at That Level end of story since then New York State has passed a 2-year moratorium on Opening new crypto mining facilities Unless they are powered entirely by Renewable energy Texas which was a major Benefactor after China passed a Nationwide crypto mining ban has also

Sought to slow down the mining industry Crypto min in Texas work directly with The state-owned grid operator and get Paid to power down during periods of Peak demand or moments of network stress To talk about what we have before and Here's the other thing that I think Needs to be pointed out at the end of The the day too we need to ban Cryptocurrency mining firms from China From building in the US because then We're just allowing them to basically Profit off of utilizing our energy when Our economy alone should benefit from That and no other that's my personal Feeling on it and if you really want to Start somewhere don't start with your Own citizens start with the people that Are not a part of the economy in general Why is that well if they're mining a Bunch of Bitcoin and then circulating it Throughout a different country the US Doesn't benef benefit from it Economically and that is just basically Poor strategy at the end of the day I Wanted to mention that as we were Talking about this because there's a ton Of Chinese mining firms in Texas and my Thought is is those need to be shut the down to be fair a public version of The survey showed the eia is asking Fairly routine questions of mining firms Including how many and what types of Chips they're running their electricity

Consumption at the facility and how much Goes directly towards mining we will Specifically focus on how the energy Demand for cryptocurrency mining is Evolving identifying Geographic areas of High growth and quantify the re or the Sources of the electricity used to meet Cryptocurrency mining demand the agency Said in a statement the reports are due On the last Friday of the month until The end of July after which it may be Renewed what will be interesting is this Will come of course a couple months After the having a Bitcoin in April and It could stifle the Bitcoin mining Industry quite significantly but Hopefully price is going to compensate For that as well so that's something That we need to keep into account Further there's an argument to be made That highlevel statistics like this will Benefit the country and the industry Given that it's more detailed Information straight from the horse's Mouth at the moment the best data we Have for the mining industry's footprint Come from the Cambridge Bitcoin Electricity consumption index which Gives hypothetical lower and upper bound Estimates of the Bitcoin Network's daily Energy consumption essentially by Extrapolating out from the current hash Rate but you have to ask why run the Survey now why would was the most recent

Runup in the Bitcoin prices a cause for An emergency but not others it's worth Noting that the Biden Administration has Prioritized reducing the country's Carbon footprint and that crypto Critical Senator Elizabeth Warren from Massachusetts asked Federal Regulators To have crypto miners disclose their Emissions and energy use how about you Disclose your insider trading Warren and get voted out Biden I'm sick Of this Bitcoin min will likely Become a popular topic of debate in the Media in the runup to having event the Programmatic reduction in the Bitcoin Subsidy paid to miners that happens Every four years it's not yet clear how The having will impact the mining sector Beyond making less efficient mining Equipment unusable in the short term Some are expecting the cryptocarbon Footprint to grow in the coming years While others see it shrinking moreover In recent months there has been Something of a public Reckoning on Bitcoin's environmental cost Particularly after the second largest Network ethereum reduced its energy Consumption by 99% through a single Upgrade while simultaneously becoming More centralized and obviously having More corruption in it than any other Cryptocurrency currently available while Some organizations like Greenpeace are

Publishing or pushing for Bitcoin to Abandon energy intensive mining some are St starting to see the sector as a boon To environmentalism for instance Cambridge recently revised down its Estimates for bitcoin's annual energy Use and institutions including MIT and KPMG have put out reports arguing the Network could help balance electricity Grids duh subsidize renewable energy Development and be useful in Greening The economy mining is an energy Intensive process the cryptographic Algorithm Bitcoin runs proof of work was Designed by computer scientists to Decentivize spam civil and denial of Service attacks on networks by adding Cost to interacting with a server Typically in the form of computer Processing time towards solving a Mathematical puzzle and of course we do Have to address this across the board Because if we really do want to actually Keep Bitcoin secure the cost to attack The network is important which is Something that I think a lot of newer Cryptocurrencies even proof of work ones Lose sight of they like to basically Pump out that they're more efficient Etc But at the end of the day that means That they are basically insecure against Large attacks from people that have the Capital to attack those networks from a Power perspective bitcoin's at the point

Now where it is not possible for that to Happen even from a large Nation even a Coalition of nations would not be able To afford to attack the Bitcoin Network And that is why Bitcoin is going to be Frankly the Maxi standard and I frankly Like that is the biggest deal here that I think I think a lot of people miss and We have to talk about that now you guys Mind during the bare Market you made it Through well at least maybe half of you I know a lot of you over Here didn't actually do it but the ones That did I have a new shirt for you guys And it says I mind with the Bears for The be Market okay so if you mind with The Bears and you want to rep that you Did mine during the be Market go ahead And head on over to shop.on of ach.com And the listing will be down below I'll Put it in live chat right now I have a Sweatshirt there's a sticker if you'd Rather have a sticker t-shirt premium Shirt all that cool cool stuff um really Like the new shirt I ordered a few for Myself and I just had that design Finished this week eventually it'll be Under on the YouTube channel but that Takes a little bit of time so just give It some time uh proceeds of course go to Supporting me in the channel so there You go and I thought uh we put some work Into it and I thought guys might enjoy It thanks for watching this clip from

The crypto mining show you can check out The full episode here and don't forget To subscribe down here as well you can Also check out my crypto mining ecourse At sun.com where you can get a free Month of supporter status with a Purchase at sonof tech. locals.com also Don't forget to check out my merch Underneath the video or at shop.on Of.com I'll see you next Tuesday

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