Wall Street analysts call for environmentally friendly cryptocurrency mining using natural gas

Jean Ann Salisbury, an industry analyst at Bernstein, a well-known Wall Street investment bank, called for the use of more environmentally friendly and surplus natural gas to generate electricity to support Bitcoin and other cryptocurrency mining.

At present, due to the discovery of a huge 2.5 billion cubic feet of natural gas in the Permian Basin in Texas, the United States, there will be a lot of excess energy, which will be wasted because the natural gas cannot be used in a timely and effective manner. On the other hand, the proof-of-work consensus process of Bitcoin and other cryptocurrencies requires a lot of electricity, so miners in the blockchain network are always looking for cheap and sufficient electricity supply.

Moreover, Jean Ann Salisbury said that 17 million bitcoins have been mined, and the highly volatile bitcoin price may make large-scale bitcoin mining unprofitable in the short term, which in turn leads to an exponential increase in mining difficulty. Therefore, they suggest that some oil mining companies can try to use natural gas to generate electricity, which can not only reverse the current problem of low natural gas prices, but also avoid energy waste.

Last December, Japan’s GMO also invested millions of dollars to launch a green energy Bitcoin mining facility. In fact, using natural gas to generate electricity for mining is a good business idea, because the traditional power generation model causes a large amount of carbon dioxide to be emitted by burning coal, which pollutes the air and causes global warming, and is also very unhealthy for the overall environment.