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- Bitcoin Policy UK advocates the use of Bitcoin mining to support sustainable networks.
- A recent report highlights the potential of bitcoin mining to provide a robust solution.
Bitcoin Policy UK, a crypto-currency advocacy group, has called on the new administration to consider bitcoin mining as a strategy to improve the country’s renewable energy grid. The organization claims that bitcoin mining can be very useful in providing a stable supply of renewable energy sources in the UK, whose power supply is unreliable.
Report highlights benefits of bitcoin mining
Bitcoin Policy UK published a report on July 10, highlighting the potential benefits of bitcoin mining for renewable energy. According to the report, the electricity-intensive bitcoin mining sector can offer a viable, long-term solution for the deployment ofreserve renewables. In this way, bitcoin mining could establish a certain “lower limit” for the price of energy, which could be capped at a certain level, while offering price-inelastic demand. This model could potentially require no government subsidies or payments, which is a good idea for capitalizing on stranded or wasted energy.
The report also points out that bitcoin mining is already being used as a flexible load in Texas, where miners offer a load that can be disconnected immediately in response to grid demands and brought back online when demand drops. This flexibility can help achieve the aims of the UK’s Energy Security Strategy by giving credibility to renewable energy producers who know that there will be a market for all the energy they produce .
New government, new strategy
The adoption of this new strategy follows the UK elections on July 4, which saw the formation of a new Labour government. The new government has also unveiled plans for a €7.3 billion ($9.3 billion) National Wealth Fund to develop the green economy. This change of government is an opportunity for Bitcoin Policy UK to propose policies that will improve the well-being of the millions of UK residents who use Bitcoin.
Freddie New, co-founder of Bitcoin Policy UK and head of policy, added that there was plenty of room for improvement in terms of promoting and monetizing sustainable energy through mining. He also highlighted the benefits of reducing methane and biogas emissions if Bitcoin mining takes place on or near farms or landfills.
The previous government had high hopes of transforming the UK into a crypto-currency hub, but faced several challenges.Due to ineffective rules put in place in the country, it was difficult for businesses to start up or even operate, and many opportunities were also missed, particularly in understanding the use of Bitcoin in areas other than the financial surface.
Bitcoin Policy UK wants to help the new government establish consistent policies that will help the crypto-currency industry grow and avoid such failures. In addition, this initiative could reduce the costs of using energy, enabling the UK government to reap more benefits from the energy used by miners.
