Elon Muk’s Tesla halts Bitcoin Payments for Vehicle Purchase citing Environmental Harm

In a recent tweet of Elon Musk, it is announced that Tesla will not accept bitcoins for purchasing electric vehicles due to the environmental effect of bitcoins on nature. This news comes after Musk’s announcement in March that Tesla customers can now buy its electric vehicles with Bitcoin.

According to Tesla company, Bitcoin adverse to the environment on the rapid use of fossil fuels. As fossil fuels are used for Bitcoin Mining and Transactions, especially coal which has the worst emission of fuel. So, they are suspending the use of BitCoin. They accept that Bitcoin has a great future but this cannot come at the cost of the environment.

He also added that they were looking for another cryptocurrency that will use less than 1% of Bitcoins energy. They did not specify any particular cryptocurrency they will accept. In the future, they will use Bitcoin if for transactions they use sustainable energy.

A study of bitcoin mining revealed that 7.46GW of electricity is used on average. And at this point, it is using 16.71GW. It means 147.79 TWH on an annual basis. Cambridge Centre of Alternative Finance has done a study on Bitcoin energy consumption- the report says that Bitcoin uses 80% more energy than America’s Airline.

In February, Tesla has purchase Bitcoins of $1.5billion and said that he will not be selling them until there is any sustainable energy for Bitcoin transactions.

Through this Dogecoin get a profit but there is no news about this rule have any impact on any SpaceX Crypto plans. It is a possibility that miners would use Ethereum as they are discussing to move to a more efficient system. Due to this news value of Bitcoin, the world’s biggest digital currency, has dropped by $2000 (currently $50,933) according to Coinbase.