Elon Musk said Tesla Inc. would allow transactions in Bitcoin once mining is done with more clean energy.
The executive said in a tweet that he wants miners to use about 50% clean energy. The Cambridge Center for Alternative Finance has estimated that 39% of crypto mining is powered by renewable sources, mainly hydroelectric.
It shows that Musk still sees a future for wider Bitcoin adoption after he criticized the digital currency for being an energy hog and relying too much on fossil fuels. Bitcoin jumped 9% on Sunday and traded at $39,580, near a two-week high, as of 8 a.m. in London on Monday.
“Elon’s stance seems to be moderating and providing a target that’s not far away,” said Jonathan Cheesman, head of over-the-counter and institutional sales at crypto derivatives exchange FTX. “The rally was already underway as the market speculates about an imminent purchase from MicroStrategy and the G-7 comments on crypto were neutral, even optimistic, about digital innovation.”
This is inaccurate. Tesla only sold ~10% of holdings to confirm BTC could be liquidated easily without moving market.
When there’s confirmation of reasonable (~50%) clean energy usage by miners with positive future trend, Tesla will resume allowing Bitcoin transactions.
— Elon Musk (@elonmusk) June 13, 2021
