Institutional investors are showing a strong appetite for carbon-neutral bitcoin (B T c) Investment solution by One River Digital Asset Management.
One River Digital, a crypto-focused hedge fund that provides exposure to Bitcoin and Ether (ETH), announced On Wednesday, “excessive assets” in its institutional bitcoin fund have chosen to switch to One River’s new carbon-neutrality share class.
In April, the company introduced A new system that calculates the carbon cost of bitcoin mining and purchases tokenized carbon credits to offset the environmental impact. The carbon cost of mining one BTC is equivalent to $55 per year, or 0.15% of the cost of one BTC, based on the estimated carbon emitted per one BTC and the market value of the offset needed to neutralize that emission. One River buys these tokens carbon credits, validating them on the blockchain.
The growing number of institutional clients in One River’s carbon-neutral BTC investments could be a sign of a broader investment trend, said Sebastian B., president of One River Digital.
“We believe this reflects a broad shift in investor preferences as transparency increases across institutional portfolios. We look forward to opportunities ahead as the digital asset ecosystem seeks a 100% carbon-neutral future,” he said. said.
One River Digital did not immediately respond to a request for comment from Cointelegraph.
The latest news comes soon after One River Digital filed for a carbon-neutral bitcoin exchange-traded fund in late May. The carbon-neutral BTC ETF is designed to reflect the performance of bitcoin on a “carbon-neutral basis” by offsetting its carbon footprint by purchasing and retiring carbon credits to cover emissions associated with bitcoin in trust. .
One River’s carbon-neutral BTC investment tool comes amid growing debate over the carbon impact of bitcoin mining Tesla suspends BTC payments Monthly cost for its cars due to associated environmental concerns. Prominent bitcoin proponents like MicroStrategy CEO Michael Saylor Believe That bitcoin mining has the highest value use of renewable energy as well as the highest use of wasted or trapped energy. according to blockcap dataBitcoin was using less than 0.1% of human energy production worldwide as of May 2021.