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The problem is that crypto mining supports a floor on energy prices. If energy prices were allowed to go sufficiently negative, that would support a market for
by mapmap 3y ago
The problem is that crypto mining supports a floor on energy prices. If energy prices were allowed to go sufficiently negative, that would support a market for renewables storage and time-of-day arbitrage that would smooth the peaks.
- bhawks 3y agoThese types of agreements existed long before crypto, there are other demand sources that will put in a floor but are not as easy to turn off during peaks. The fact that there have not been scalable, reliable storage schemes devised that can be deployed safely at any location ideal to the grid is not bitcoin's fault nor is it Bitcoin's problem to solve.
- kukkamario 3y agoI think it actually makes much more sense to overproduce energy with renewables and then just use extra for something. Crypto is a bit stupid use case, hydrogen production or something actually useful would be better. Negative prices reduce investments to renewable energy production.
- landoftheice 3y ago[dead]
- scotty79 3y ago> hydrogen production or something actually useful Only if anyone buys hydrogen. And technological infrastructure for trading it exists. Even then risks involved in operating hydrogen production facility are way higher than just plopping a box with few miners near your brand new windturbine you are struggling to monetize.
- landoftheice 3y ago[dead]
- scotty79 3y agoSupporting the floor is what allows to overbuild renewables. Nobody would build another windmill if they couldn't sell their production for profit half of the time. Storage is blocked by technology and resources. We can't wait for storage to build more renewables.