Elon Musk’s Crypto Crush Continues, Says Bitcoin Superior than Paper Money, But Energy Consumption Remains Main Pitfall
Recently, Bitcoin Exchange Guide reported Elon Musk’s preference of the crypto sphere. In particular, he appears to be fond of the use of cryptocurrencies over paper money, where he described the former as “a far better way to transfer value than pieces of paper.”
Interestingly, news outlet, Inverse also noted that Musk finds bitcoin’s structure as being “brilliant”. However, it doesn’t simply stop at the advantages, as the CEO of Tesla sees a major flaw in BTC, especially in relation to Tesla (https://www.inverse.com/article/53460-cryptocurrency-elon-musk-says-brilliant-bitcoin-has-one-key-flaw).
What might that flaw be? Musk is unsure how BTC would fit into Tesla’s world, considering that the latter focuses heavily on sustainable energy. Specifically, he stressed that the downfall with cryptocurrencies is that,
“computationally, it’s quite energy intensive.” He further added that “it’s very energy intensive to create the incremental bitcoin at this point.”
The fact that Musk pointed to energy consumption as a problem does not come of surprise. Back in 2017, Alex de Vries estimated that bitcoin’s yearly energy consumption is approximately 32 terawatt-hours, which has been thought of as sufficient to provide a small-sized country for that matter. To date, many crypto firms have been searching for energy-efficient ways to conduct business, whether this implies incorporating new technology or focusing on energy-friendly locations.
That said, I still only own 0.25 BTC, which a friend sent me several years ago. Don’t have any crypto holdings.
— Elon Musk (@elonmusk) February 21, 2019
Musk went on to share that the likes of bitcoin sparks interest within him, however, it stops there. As per the claims made, the CEO does not see Tesla contributing to the sales of Bitcoin. This has been reflected in Bitcoin Exchange Guide’s most recent report suggesting that the CEO only holds 0.25 BTC – something he did not voluntarily invest in but received as a gift.