Microstrategy Chairman and CEO Michael Saylor has questioned claims that the newly formed Bitcoin Mining Council will lead to the centralization of Bitcoin (BTC / USD).
According to him, the Council was formed to provide a solution to the problem of Bitcoin’s energy use. On May 25, Saylor and Elon Musk met with top Bitcoin miners in North America to propose ways to solve Bitcoin’s environmental problems. The committee was formed to accelerate sustainability initiatives for cryptocurrency.
However, some argued that the Council could signal the beginning of centralization within the cryptocurrency space. In correcting this notion, Saylor reiterated that the Council cannot in any way affect the decentralized nature of cryptocurrencies. Rather, it was established to help “shape the narrative around cryptocurrency energy use.”
The discussion was about safe energy
Saylor said that the discussion centered on the energy use of Bitcoin, with Elon Musk and eight Bitcoin miners from North America present at the conference. Miners make up about 10% of the entire Bitcoin mining power in the world, with most of the other miners coming from China.
Bitcoin is having a turbulent month so far, following the negativity of the environmental impact surrounding the cryptocurrency.
When Tesla announced that it had suspended acceptance of Bitcoin for payments for its products, it caused the token’s price to drop slightly. The biggest drop in Bitcoin was favored by the mining crackdown in China. Tesla cited the high rate of energy consumption as the main reason for the decision.
Critics stated that the new Council causes Bitcoin and other cryptocurrencies to lose their core values of decentralization.
To find a solution and reduce the energy impact, the Council was established to make it possible to publish data on energy use and the source of energy use.
Saylor has been a strong advocate for Bitcoin, adding over 92,000 BTC to his company’s balance sheet.
Critics compared the deal to the ill-fated New York Accord in 2017, which almost influenced the decentralized nature of Bitcoin.
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