How Bitcoin mining could yield more renewable energy providing more reliable power

Additional authors: Yassine Elmandjra (@yassineARK) & Sam Korus (@skorusARK)

Bitcoin critics often assert that bitcoin mining consumes more resources, specifically energy, than the benefits it creates. What critics deem computationally inefficient and unscalable, however, advocates consider not only an intended tradeoff but a fundamental feature.

Critics also assert that the computation required to secure Bitcoin, even if necessary, is environmentally damaging and ruining the planet.

We believe that the opposite is true: a world with bitcoin is a world that, at equilibrium, generates more electricity from renewable carbon-free sources.

In this piece we hypothesize and illustrate how Bitcoin mining can…

Some scary numbers are out there, and some of them don’t make sense; one plausible explanation would be that milder forms of Coronavirus confers temporary immunity; there are policy and macro-economic ramifications.

The “known” numbers: mortality rate seems to be 1% amongst cases that test positive in a working healthcare system and ~5% amongst cases that test positive in a non-working/overwhelmed system.


Over the past two years blockchain-based tokenized networks — entities that we believe comprise a new asset-class — have accrued billions of dollars in value and raised more than a billion dollars in capital. Since these networks are fundamentally different from more well-established assets, traditional valuation frameworks do not apply. What do you pay for an asset that offers no claim on an underlying business, generates no operating cashflow, and promises to pay nothing out to its owners?

For many skeptics the answer has been: 0. They claim these assets are no more than Ponzi schemes, which will retain value…

VC: Valuations are bonkers. Invest in a team w/o a working product at >$10m? Umm, non-starter.

Crypto: This time is different.

VC: $10mm is the ceiling pre-product because there are too many unquantifiable risks; you just can’t tell until the thing is in a user’s hands.

Crypto: This time is different.

VC: Besides $10m pre-product probably produces negative returns on net. There’s a reason Y-Combinator does $2m and 500 Startups does $2.5.

Crypto: This time is different.

VC: AND there are huge regulatory risks. AND there are huge technical risks. AND I don’t even get a board seat?!?

Crypto: This…

Brett Winton

Director of Research, @ARKInvest. Disruptive Tech: Autonomous, AI, Blockchain, CRISPR, Fintech, 'Omics, Robots... Disclosure:

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