Interesting post by JP Koning exploring the current debate about the value of Bitcoin and its energy demand.
There are two extreme theories about cryptocurrency energy consumption, both of them bitterly opposed to each other. The first I’ll call the big waste theory. Cryptocurrencies such as Bitcoin and Ethereum serve no useful purpose. Yet they are sucking up huge amounts of useful electricity. Let’s ban them.
The second theory is the vital cog theory. Cryptocurrencies are a useful bit of global financial infrastructure. And so the huge amounts of energy that they are consuming is beneficial. Let’s not impede them.“The overconsumption theory of bitcoin (and decentralization in general)”, JP Koning, May 2021
Koning offers an alternative “overconsumptionist theory” – worth reading
Tony – From the Outside