Argo Blockchain, headquartered in the United Kingdom, recently recorded record sales, but according to a new survey, 75 percent of Bitcoin mining is still done in China, where “blood coin” is made.
Argo Blockchain, a Bitcoin (BTC) mining company headquartered in the United Kingdom, has just completed the highest quarter in history, earning record sales for three months in a row. Despite the emerging blockchain mining industry in the West, the vast majority of Bitcoin production continues to take place in China, where inexpensive, coal-powered electricity drives an untold amount of mining rigs.
ccording to a recent Nature.com survey, up to 75% of Bitcoin mining takes place in China — news that must have stung Shark Tank and Dragon’s Den investor Kevin O’Leary, who recently labelled all Bitcoin mined through the use of fossil fuels as “blood coin.”
The trader also went so far as to claim that from now on, the only Bitcoin he would buy and sell would be “clean coin,” or Bitcoin sourced from miners who use green or renewable resources.
O’Leary also believed that institutional investors would quickly become aware of the environmental issues associated with Bitcoin use and would continue to seek out “virgin” coins — i.e., those with their source of origin already known and decided upon beforehand.
According to Nature experts, by 2024, China’s glasshouse gas emissions from Bitcoin mining would have reached the cumulative emissions of both the Czech Republic and Qatar combined:
“We find that without any policy interventions, the annual energy consumption of the Bitcoin blockchain in China is expected to peak in 2024 at 296.59 Twh and generate 130.50 million metric tons of carbon emission correspondingly. Internationally, this emission output would exceed the total annualized greenhouse gas emission output of the Czech Republic and Qatar.”
Bitcoin miners in China dominate the global environment in terms of producing BTC, aided by cheap fossil fuel resources and their proximity to the epicentre of mining hardware demand in South East Asia.
According to the study, “the bulk of the mining phase has been performed in China due to its proximity to suppliers of advanced hardware and access to cheap electricity,” as miners in the country account for more than 75 percent of the Bitcoin network’s hashing capacity.
In related news from closer to home, Argo Blockchain just notched up record revenues in three consecutive months, as the firm achieved its best financial quarter to date. Using renewable energy sources in operational centers based in Canada, Argo mined 387 BTC in the first quarter of 2021, with revenues exceeding 13.4 million British pounds ($18.5 million). The firm reportedly held 764 BTC in total as of the end of March.
“I’m delighted that Argo has generated record mining revenue and profits for the third month in a row, making this quarter Argo’s best performing since the company’s inception,” said Argo chief executive Peter Wall.
Argo recently announced the creation of a clean energy Bitcoin mining pool operated entirely by sustainable, hydroelectric sources.
Many in the crypto room — and beyond — are debating, if not refuting, the scale of “blood coin” demand in China. Recently, Miami Mayor Francis Suarez reported that 90 percent of Bitcoin was generated from “dirty” energy sources.
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