U.S.-based financial service company Square has launched a Bitcoin Clean Energy Investment Initiative with $10 million initial funding.
According to a press release today, Square stated that it would make the funds available to firms that drive the adoption and efficiency of renewable energy in the Bitcoin ecosystem.
The initiative is in line with Square’s mission of being acknowledged as a “net-zero carbon” firm by 2030.
Amrita Ahuja, Chief Financial Officer at Square, said:
Committing to be a net-zero carbon contributor is consistent with our purpose of economic empowerment, as we’ll continue to work for our customers without contributing to longer-term climate issues.
In its quest to promote the program’s sustainability, Square added that it would reinvest any profit gained from the Bitcoin Energy Clean Investment program back into the initiative.
Furthermore, the program will be extended to other firms that share the same ideologies as Square to raise more funds in order to continue to support companies using green energy technologies to mine bitcoin.
Bitcoin Consuming Too Much Energy?
Bitcoin has received major backlash in the past for its intensive use of electricity in mining. Analysts fear that increased BTC mining will have an adverse effect on the environment.
This challenge has forced government officials in certain quarters to impose strict laws on Bitcoin mining, with some regulators demanding that firms should use only renewable energy.
Even though more mining farms are beginning to adopt renewable energy for mining operations, Square co-founder and CEO Jack Dorsey is confident that the activity will be powered completely using “clean power” in the future.
He added that if clean energy is used to power Bitcoin mining, it will help eliminate its carbon footprint while fostering renewables’ adoption globally.
Contrary to the widespread notion that crypto mining operations are conducted using non-renewable energy, which harms the environment, research published by CoinShares reveals that 74% of mining is done using renewables.