After questions were raised over the efficiency and environmental effects of crypto mining, CZ expressed confidence in the technology. Comparing Bitcoin mining with the energy usage of traditional financial companies, he said the mining process is more efficient. “This is just the beginning,” he affirmed, arguing that Bitcoin’s sustainability is important for the ecosystem.
Crypto’s Sustainability, Its Importance
When asked about the importance of crypto’s sustainability, Binance chief executive officer CZ said it is extremely important. He added that it is all the more reason why crypto should be adopted. CZ said no other asset of Bitcoin’s caliber could survive with lesser efficiency. He also said Bitcoin is far more efficient than any other modes.
“Any trillion dollar asset requires much more energy than Bitcoin’s mining power just to sustain it. I strongly believe that Bitcoin mining is far more efficient than any of the other modes used to manage any other asset type.”
CZ stressed on the fact that energy costs of other assets are not easy to calculate. Taking the example of major banks in big cities, the Binance CEO said their energy costs are difficult to assess. “How much electricity do banks consume? I don’t know.” On the contrary, Bitcoin is transparent in that it’s mining costs are easy to calculate, he explained. But the transparency doesn’t necessarily make crypto a bad asset.
“Bitcoin Just The Beginning”
Earlier this year, Tesla CEO said he was exploring tapping into the renewable energy use for Bitcoin mining. He indicated at the time that there was need to bring in green energy usage for mining. Adding to this, CZ spoke about efficiency of Bitcoin mining. He said Bitcoin mining was relatively more efficient than that of banks.
“Bitcoin is just the beginning. We now have many blockchains with a thousand times more efficient than Bitcoin. The blockchain is the most efficient technology to organize money to transfer value to organize finances by far.”