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I'm just pointing out your statement "every profit-maximising firm will always use the cheapest energy available" is not true or practically feasible. Bitcoin
by cwkoss 5y ago
I'm just pointing out your statement "every profit-maximising firm will always use the cheapest energy available" is not true or practically feasible.
Bitcoin miners can respond to energy price in minutes, where most industry is hours, sometimes days (for capacity that already exists - months to years for capacity that does not). Stop/start costs are very low, so its easy to run only in profitable energy conditions.
- lottin 5y agoA Bitcoin miner cannot relocate to a different part of the country where electricity costs are momentarily cheaper in a matter of minutes. And they are not gonna buy a whole lot of computing equipment and then let it idle for long periods of time because of fluctuations in the price of electricity. None of this makes any sense.