Bitcoin Honeymoon Over? NYC Mayor Comes Out Against PoW



Per a New York Post report, recently elected NY Mayor Eric Adams has revealed his positions against Bitcoin and crypto mining. The politician run on a campaign that vouched to make the U.S. city a “center of cryptocurrency trading”.

Related Reading | NYC Mayor Will Keep His Promise And Convert First Paycheck To Bitcoin And Ethereum

Oddly enough, Adams promised to take his first three paychecks in Bitcoin, the largest crypto by market cap, but also the largest in terms of mining. The cryptocurrency uses a Proof-of-Work consensus algorithm which requires computational power to secure the network and validate transactions, this mechanism has seen heavy criticism for its alleged environmental impact.

According to the New York Post, Adams participated in a joint session of state legislators in Albany, where he emphasized his support for crypto trading, but not crypto mining. Apparently, the newly elected Major has seen opposition from environmentalist groups.

Bitcoin mining and crypto mining, in general, is considered highly energy-consuming. High profile personalities in the business world and other sectors, such as Tesla CEO Elon Musk, have come out against it sparking a fresh wave of rejection against this activity, and its supporters.

In addition, the NY Post reports a local move, comprised of state lawmakers and New Yorkers, against a gas-powered plant used to mine Bitcoin. The plant is located on the shores of Seneca Lake, and it is being accused of polluting the air and rising water temperatures in the area.

The plant supports an upstate Bitcoin mining operation, per a separate report from the New York Post, and has created division amongst local residents. Some believe it has heated the lake waters so much they feel “like you’re in a hot tub”, others believe the mining operation has brought economic benefits to the area.

The gas-powered plant operator is a publicly-traded Bitcoin mining company called Greenidge Generation (NASDAQ: GREE). The company is committed to “advance responsible Bitcoin mining across the industry”, per its official website.

A Short Live Love For Bitcoin?

However, local environmental organizations stand by Adam’s and his recent statements. One of the most prominent, the environmental nonprofit Seneca Lake Guardian commented the following on BTC mining operations and Adams statements:

Seneca Lake Guardian is relieved to see that Mayor Adams has heard us and understands the major threats that Bitcoin mining poses to New York State. Bitcoin mining could cost New Yorkers millions of dollars in energy bills while kneecapping local businesses, poisoning our water, and filling our air with deadly CO2 emissions.

Across social media, crypto enthusiasts have expressed their disappointment for Adams’ recent comments. The Major was elected on a pro-crypto platform, according to them, and has apparently shifted his stand to gain the support of these environmental groups.

As Bitcoinist reported, a report published by investment firm CoinShares attempts to shed new light on BTC mining energy consumption. The report concluded that the BTC mining industry is much lower than the average for carbon-intense operations and accounts for 0.08% of global CO2 production.

Related Reading | How The U.S. Government Seized 119K Bitcoin, Crypto Easier To Track?

As of press time, BTC’s price trades at $43,775 with sideways movement in the last 24-hours.

BTC moving sideways on the daily chart. Source: BTCUSD Tradingview


Read Full Story

Leave a reply