The House Committee will study encrypted currency and its energy demand this week. This is another view of Congress to encrypting currency.
Energy use of encrypted currency has been reviewed for a long time. On Thursday, the House Energy and Commercial Committee will hold a hearing on the “Energy Impact of Cleanup Encryption Currency: Energy”, we will first listen to American legislators for the first time.
Why is it important?
Legislators have been talking about energy and environmental issues around encryption mining.
Such a comprehensive disclosure: I have reported climate and climate issues. Climate change is of course true. In the past few years, we have seen this in Drakos, the Central and Western Decrekos, in the past few years.
An environmental problem around the encryption is not a new thing. The Bitcoin Electric Consumption Index of Cambridge University is estimated that the Bitcoin network currently uses about 15.7 GW (or about 12 time travel Deloreans) (1 Giwa = 1 billion watts). In contrast, my laptop uses approximately 65 watts.
And remind you that this is just bitcoin (BTC). There are thousands of other encrypted currencies with their different energy needs.
Part of the hearing seems to focus on running all of these miners on the environment.
“According to the 2020 POW encrypted currency carbon footprint, single [Ether] transaction adds more than 90 pounds of carbon dioxide to the atmosphere, and a single BTC transaction adds more than 1,000 pounds of carbon dioxide into the atmosphere. According to 2021 Edition estimates, Eth mining emissions exceed 25 million tons of carbon dioxide, BTC mining emissions exceed 56.8 million tons of carbon dioxide. From this perspective, the 2021 global Eth and BTC mining carbon dioxide emissions are equivalent to more than 15.5 million gasoline per year. The exhaust emissions of the car. Other estimates have made these numbers, “said the Memorandum of Hearing.
This memo references DigicOnomist and Statista to determine these numbers, although the encrypted monetary advocate believes that energy estimates per transaction have misleading, because the transaction is actually not working like this.
Despite this, general views are still very clear: Legislators will want to know these emissions, and mining facilities for power supply for these networks.
“Over time, the profitability of mining and [Work proof] The increase in encrypted monetary value supports large-scale investment in mining facilities, which requires increasing energy to supply power and cooling machines for machines,” hearing memo .
We may also see the concerns of consumers. One of the witnesses on Thursday is Steve Wright. He is the former general manager of the Qilan County utility area of ??Washington State, which was once a popular destination of encryption mining companies.
The entire committee then voted to stop reviewing the application of new miners because they worried that these miners used how much energy used, and they could catch fire or otherwise hurt local communities.
At least one localized compass mining company in the region also announced bankruptcy.
Other witnesses include the former agent audit Changbrane Brooks, and he is currently in charge of the encrypted mining company BITFURY; John Belizaire; Jordan Ramis PC shareholder and Gregory Zerzan, a government official, ARI JUELS.
Honestly, I still don’t know how this hearing will do. However, the seeds of substantive dialogue are there, and I have doubt that climate and energy issues will affect the encrypted currency world in the past year, so it is really time.
President Joe Biden nominates Sarah Brum Lasjin as a vice chairman of the Fed Regulatory, and nominates Lisa Cook and Philip Jefferson as a Director of the Federal Reserve Board. The Fed President Jerem Powell and the Governor Lel Brena also participated in their nominated hearing last week, and they were challenged from a series of issues such as inflation to the central bank digital currency.
Senator Cynthia Lummis (R-WYO) also asked the Fed so far to obtain a lack of response to the US-Federation owner’s special purpose departure agency for Wales State. At present, it is not clear when the Fed will or whether it will make a decision.
Encrypted companies can’t surpass the Travel Rules: Marcus Pley, Chairman of the Financial Action, wrote a commentary, explained the “Travel Rules” of the intergovernmental supervision agency, which requires countries to implement Common “Understanding Your Customer” Rules Encrypts the currency exchange in the world.
The House and Senate Agriculture Committee issued two parties to request CFTC guidance encrypted currency: Legislatives of the House and Senate Agriculture Committee requested the Communication Futures Trading Commission to explain its role in supervision of encrypted currencies.