It’s the most talked about topic in the past few weeks. Ever since Elon Musk tweeted about bitcoin’s massive energy consumption (BTC) and the subsequent crash, everyone has been talking about this energy use. While Elon Musk has not brought to light anything new, as information about bitcoin’s energy consumption has always existed, he has made sure that it is now at the forefront of the bitcoin and cryptocurrency discourse.

A digital hedge fund, One River, is an example of this increasingly important part of bitcoin. On May 24, One River filed with the US Securities and Exchange Commission (SEC) for approval of a bitcoin Exchange-Traded Fund (ETF). This is not just any ETF. One River has the ambition to make this ETF CO2 neutral.

To achieve this, One River has entered into a partnership with a Uruguayan company, Moss Earth. By buying “carbon credits”, the company can ensure through Moss Earth that carbon emissions are offset. For every bitcoin that comes into possession, tokens are bought and “planted” to offset the emissions.

One River’s filing is listed among other ETFs awaiting approval by the US SEC. According to some analysts, it could be a long time before the SEC makes a decision on this. One River does have an advantage with regard to any SEC approval. Former SEC chairman Jay Clayton acts as an advisor to One River.

We will not yet know whether the climate-friendly One River ETF will be approved. The governing body in the United States is taking its time and there are still serious concerns within the SEC about the threat to individual investors and the potential for market manipulation. Should the One River ETF and other ETFs eventually gain approval, it will usher in a new era for bitcoin.

Categories: Bitcoin

0 Comments

Leave a Reply

Your email address will not be published.