Greenpeace Criticizes Approval of Bitcoin EFT, Describing It as 'Detrimental to the Environment and Communities'

Greenpeace Rejects Approval of Bitcoin ETFs

Greenpeace, an environmental defense organization, has criticized the recent approval of several spot bitcoin exchange-traded fund (ETF) products by the U.S. Securities and Exchange Commission (SEC). Rolf Skar, National Campaigns Director at Greenpeace USA, believes that this move will make it easier to invest in bitcoin, which the organization considers to be a polluting asset.

Bitcoin ETFs and Carbon Emissions

Skar states that the approval of Bitcoin ETFs is a significant moment for the financial services industry in its support of polluting Bitcoin. He highlights that this poses challenges to efforts aimed at reducing carbon emissions and mitigating the climate crisis.

Impact of Bitcoin ETFs on Bitcoin’s Price and Environmental Impact

Skar further emphasizes that the introduction of Bitcoin ETFs will increase bitcoin’s price due to heightened demand. As the price rises, more miners join in, leading to increased carbon emissions and water use from fossil fuel-generated power. He asserts that the SEC’s approval of a Bitcoin ETF benefits Wall Street companies but is detrimental to the environment and society.

Greenpeace’s Stance on Bitcoin

Greenpeace ceased accepting bitcoin donations in 2021 due to its environmental impact. The organization advocates for altering Bitcoin’s code to transition from proof-of-work to proof-of-stake consensus. This change would reduce the energy required to operate and secure the network, addressing the environmental concerns associated with bitcoin mining.

Hot Take: Greenpeace Urges Bitcoin ETF Institutions to Address Pollution

Greenpeace urges financial institutions such as Blackrock and Fidelity, which endorse Bitcoin ETFs, to play an active role in solving the environmental issues associated with Bitcoin. The organization emphasizes the need to address the carbon emissions and water use caused by bitcoin mining. Greenpeace considers the approval of Bitcoin ETFs to be a significant turning point that requires action from industry players to mitigate the polluting effects of the cryptocurrency.