Julia Nesheiwat and Ari Kohn, Atlantic Council:
Amid recent news of the leading crypto exchange FTX’s collapse, and as countries move to implement climate targets after COP27, the question of crypto-assets’ sustainable future has never been more pertinent.
On September 8, the White House Office of Science and Technology Policy (OSTP) released a report claiming the environmental impact of producing cryptocurrencies could “impede US efforts to combat climate change.” President Biden ordered the study in March as part of a sweeping executive order on digital assets. In the coming months, other federal agencies and offices, including the Environmental Protection Agency (EPA) and the US Department of Energy (DOE), are expected to release recommendations and reports for how the United States should regulate the asset class to align with net-zero carbon emissions goals. Immediate criticism from OSTP seems to cast a shadow on the mining process. But recent developments, such as Ethereum’s “merge” and renewable energy’s ability to power mining operations in order to support the grid transition, position crypto as a strategic utility for meeting US climate targets.
Yes, you can mine Bitcoin and contribute to the climate effort – Atlantic Council
