It should be noted that Elizabeth Warren is associated in the cryptocurrency industry as a vocal critic of Bitcoin, other cryptocurrencies and the decentralised asset niche in general. This became clear back in the summer of 2021, when she linked crypto to fraud, extortion and pollution at the same time.


In addition, Warren failed to appreciate the volatility of cryptocurrencies, that is, their dramatic changes in value. As a result, the official pointed out that crypto is not suitable for common people, as the latter could lose money because of it. Read more about the old batch of criticism at the link.

What harm does mining do?

The senator demanded that the management of Greenidge report on the exact amount of energy consumption and the accompanying damage to the environment. Here is the official’s rejoinder in which she voiced her position on the issue.

Given the unusually high energy consumption and carbon emissions associated with Bitcoin mining, the business of Greenidge and other similar firms raises concerns about their impact on the environment, local ecosystems and the lack of power for ordinary consumers.


It should be noted that Bitcoin mining does require significant energy expenditure. The day before, the leadership of Kazakhstan was convinced of this, as many Chinese miners moved there after the ban on coin mining in China. As a result, it became clear that the idea of increasing tax revenues to the country's budget may not pay off, and the risks for the local power grid have increased. Read more about the story in a separate piece.


Senator Elizabeth Warren

As Decrypt points out, the main problem for the mining company in Warren’s eyes remains the lack of clear reporting on the aforementioned metrics.

We need a better understanding of how much energy facilities like Greenidge use, how much pollutants they emit into the environment, and the impact they have on electricity prices for American consumers.

Read also: Chinese government launches investigation against official for links to cryptocurrency mining

Greenidge

Greenidge Generation has been at the centre of an environmental scandal involving the crypto industry for months now. At the root of the problem is the fact that the company uses natural gas reserves to generate the electricity needed for mining. Natural gas is not as harmful as coal, but it is still a fossil fuel and therefore less environmentally friendly than renewable energy sources.


We believe that criticism of Bitcoin and cryptocurrencies in general benefits officials, as many people outside the digital asset industry do see them solely as harming the environment and aiding fraudsters. And given Elizabeth Warren's regular negative rhetoric, it seems as though she has simply found her niche and is using it to her own political name.


For more on mining, check out our Millionaire Crypto Chat. There we will talk about other topics related to blockchain and decentralisation.