Elon Musk announces Tesla’s suspension of accepting Bitcoin payments

As a legend, Elon Musk himself is a supporter of cryptocurrency, and this is also true of Tesla’s previous investment in Bitcoin and acceptance of Bitcoin payments. Whether it was Tesla investing in Bitcoin or accepting Bitcoin payments, it made the price of Bitcoin soar at the time.

This morning Bitcoin and other mainstream cryptocurrencies all staged a high dive, and the fuse of the plunge was Elon Musk’s announcement of the suspension of accepting Bitcoin payments.

Although this is not the main reason for Bitcoin’s plunge, after all, the Bitcoin market has not been very good in recent days, but Tesla’s approach will undoubtedly add fuel to the plunge.

“Bitcoin, bitcoin coin, physical bitcoin, bitcoin photo” by antanacoins is licensed under CC BY-SA 2.0

It is well known that cryptocurrencies such as Bitcoin need to use computers for high-performance calculations during the mining process, and a large amount of electrical energy is consumed during the operation of the computer.

The issues related to cryptocurrency mining and energy consumption and carbon emissions have been discussed in the industry for a long time, mainly because most large mines rely on coal-based thermal power plants.

Obviously, mines that rely on thermal power plants will consume a lot of coal and cause many additional greenhouse gas emissions, and the world is currently striving to achieve the goal of carbon neutrality.

This time Tesla suspended accepting Bitcoin because of the high energy consumption of Bitcoin. It may be that Tesla has received too much criticism for accepting Bitcoin payments during this period.

Elon Musk said that Tesla’s investment in Bitcoin will be held and not sold. At the same time, Tesla will study other alternative cryptocurrencies with lower energy consumption.

Elon Musk also emphasized that if Bitcoin mining can transition to sustainable energy, Tesla may re-enable Bitcoin as a payment method.

Via: CNBC