2 months ago 2 min read

Riot Platforms Responds To NYT's False Bitcoin Mining Allegations

riot-riot platforms-bitcoin-crypto mining

The New York Times released an article titled "The Real-World Cost of the Digital Race for Bitcoin" that detailed the actions of 34 U.S. mining operations for bitcoin.

The report identified Riot as the biggest of the activities and said that the company generated 1.9 million tons of CO2 emissions annually while using 450 MW of power, 96% of which came from fossil fuels. In its response, Riot said that it draws its energy from the Texas electrical system, which uses 24% wind, 10% nuclear, and 4% solar energy. Riot added that it uses the energy that is readily available in rural areas where wind and sun are "plenty and otherwise squandered" during off-peak hours.

However, as said by Riot, its Bitcoin mining activities "do not generate any greenhouse gas emissions" and instead use electricity in the same way as other data centers. Riot also refuted assertions that Bitcoin mining could have an impact on the wider energy market and its costs. The business contended that factors other than bitcoin mining are driving up electricity prices, including monetary policy, the turmoil in Russia and Ukraine, and repressive energy policies—a word frequently used to describe the Biden administration.

Riot continued to refute allegations made regarding the amount of savings Riot has realized by taking part in energy-saving programs, as well as claims that these programs negatively affect the availability and cost of electricity.

The article also covered the broader mining sector and contained criticism of the crypto-mining sector in general. As said by Riot, the New York Times piece presented a "false and skewed perspective" of both its own business and the crypto-mining sector in general. The business asserted that the New York Times chose to make politically driven statements rather than taking into account the data provided by Riot. It stated that offering electricity access to individuals or groups based only on their activity is a "hazardous road."

The story from The New York Times has drawn criticism from numerous other members of the cryptocurrency community. The New York Times's allegations are part of a lengthy history of complaints about Bitcoin and how much energy it consumes. Data indicating that Bitcoin mining consumes as much energy as several nations first surfaced around 2017. Even though it still consumes a lot of energy, around half of Bitcoin mining is done with renewable energy, based on some estimates.

When NFTs gained popularity in 2021, criticism regarding energy utilization was expanded to include those assets. Ethereum, the platform for the majority of NFTs, has stopped mining cryptocurrency, though. Transaction confirmation no longer depends on energy competition.

Great! You’ve successfully signed up.
Welcome back! You've successfully signed in.
You've successfully subscribed to Coin Aquarium.
Your link has expired.
Success! Check your email for magic link to sign-in.
Success! Your billing info has been updated.
Your billing was not updated.