There are three main measures for evaluating the usefulness of different energy sources: reliability, abundance and cost. While renewable energy might be the world’s preferred option from an environmental perspective, it doesn’t perform particularly well against any of these criteria.

It is misguided to claim that it is diverting energy from other more worthwhile uses, when in reality, it acts as the energy buyer of last resort, an on-demand solution for harnessing energy when there’s over-production. Without bitcoin mining the surplus energy is wasted, and unprofitable projects stay as such.

Not only that, but because bitcoin mining is a revenue generator, it has the potential to make previously unviable renewable energy projects profitable. For example, there are thousands of geothermal energy sources in remote locations, far away from the nearest population centre and thus undeveloped by energy companies. Bitcoin mining creates a clear financial rationale for investing in these energy sources, monetising the operation from the moment energy is first generated. Such an incentive to invest in, develop and bring down the long-term cost of renewable energy products has never before existed outside of direct government intervention.