The Bitcoin Mining Council made its formal debut on Thursday, as debate intensified about the environmental impact of digital assets.
The Bitcoin Mining Council describes itself as a “voluntary and open platform of bitcoin miners committed to the network and its fundamentals”. Its mandate is to promote transparency, support good practices, and promote bitcoin education, according to the official Website.
MicroStrategy CEO Michael Sayer is one of the founding members, who posted a call to arms on his Twitter feed on June 10.
The Bitcoin Mining Council is a voluntary and open forum of bitcoin miners committed to the network and its core principles. We promote transparency, share best practices, and educate the public about the benefits of #bitcoin and bitcoin mining. join us. https://t.co/vGPGD3TA5p
— Michael Saylor (@michael_saylor) 10 June 2021
The organization consists of a group of energy-conscious North American bitcoin mining companies. It was first suggested by Elon Musk a. was given in Tweet at the end of May, but he has since clarified that he will have no role on the council. The site goes out of its way to underline this point:
“Elon Musk has no role in BMC. His participation was joining an educational call with a group of North American companies to discuss bitcoin mining.”
In addition to MicroStrategy, founding members include investment management firm Galaxy Digital, blockchain mining firm Argo, blockchain technology firm Hive and bitcoin mining firm Riot. Founding members will cover any ongoing costs and invite any bitcoin miner from anywhere in the world to join. It states that any miner must be involved in:
“Assume that transparency around energy use for mining is important and agree to voluntarily share your energy mix and hashrate size for research and educational purposes.”
BMC will hold quarterly meetings to analyze mining trends, partner with industry researchers, collect data for educational purposes, and drive growth in the North American BTC mining industry.
The group confirmed that it is completely independent of the bitcoin network and has no intention of disrupting its decentralization.
“We do not seek to change the decentralized nature of bitcoin or its fundamentals, but are working to increase awareness of bitcoin and bitcoin mining.”
It added that the council believes that bitcoin’s energy use is a feature, not a bug, that provides tremendous network security. The energy consumption of global mining operations has come under the spotlight recently in the wake of Elon Musk’s remarks Environmental effect.
Cambridge Bitcoin Electricity Consumption Index (CBECI) an estimate Bitcoin’s annual electricity consumption is currently somewhere between Holland and the UAE.
After the recent state shutdowns, China’s hash rate is declining while America is growing Because mining operations can tap into cheap renewable energy in states like Texas.
Attracted by this abundance of renewable energy, more firms are setting up operations in the US. Latest collaboration between mining software company Luxor and institutional bitcoin technology and financial services firm NYDIG To promote development in the rapidly growing industry.
However, one of the biggest winners is the neighboring country for geographical reasons. Kazakhstan.