Tesla has once again changed their stance on bitcoin. Elon Musk, the founder of Tesla and SpaceX, announced during a Livestream that tesla would likely Tesla accepts bitcoin in the future. He said tesla dropped bitcoin because of concerns about environmental impact, but it now looks like tesla is focusing more on renewable energy sources, which would make accepting bitcoin much easier.
Elon Musk about when Tesla accepts Bitcoin?
“I wanted to do a bit more diligence to confirm that the percentage of renewable energy usage,” said Musk. “It turns out, it’s almost 100%,” he added. “Long-term, renewable energy is the cheapest form of power generation, but it takes time for this to change,” Musk said. “But as long as there is a conscious and determined effort by miners to move towards renewables, then Tesla will support that.”
“I might pump, but I don’t dump,” Musk said. “I definitely do not believe in getting the price high and then selling.” He added: “I would like to see bitcoin succeed.”
Tesla started accepting Bitcoin as a form of payment in March and later decided to withdraw that decision stating environmental concerns. Now, Elon Musk is considering again bringing back Bitcoin only if Bitcoin can be converted into renewable energy. “If I was purely financially motivated then, I would not express this reticence about bitcoin energy usage,” said Elon Musk.
Why does Bitcoin use so much energy?
Bitcoin is a digital currency that relies on data stored in the blockchain. Data storage requires energy to function, and bitcoin mining consumes about 30 TWh of electricity per year (about as much power as Denmark). Mining for Bitcoins can be done via high-powered servers which require more than half a megawatt each – they use an immense amount of power. This may not seem like an issue if you live in an area with relatively low electricity costs, such as China or India, but it could potentially become costly over time due to increased demand.
Once we find an alternative solution to overcome this energy usage, Tesla will start accepting Bitcoin. And, once Tesla starts accepting, it is believed that many other platforms will start to follow the same steps.