Bitcoin, also known as cryptocurrency, is a virtual currency or a digital currency. It is like an online version of cash in which a record of the transaction is mentioned, and new units of currency are generated by the computational solution of mathematical problems, which is independent of the central bank.
Recently, the Cambridge university published Bitcoin electricity consumption Index. According to this, China’s share in global bitcoin is 65%, and the united states’ share is 7.2%. Consequently, We can title this article Bitcoin: strength of china. The co-founder of Paypal termed bitcoin as a financial weapon of china. This, he said during a webinar conducted in the USA.
The main concern associated with bitcoin is that it is independent of the central bank. This is market-driven, and it is not regulated. It may harm the dollar’s reputation in the global market. This is becoming a strength of china. Cryptocurrency is involved with electricity also. Thus, sustainability and climate goals are also getting affected because of it.
There are some suggestion made by theil, the co-founder of PayPal-
Thiel suggested that the US should ban China’s ByteDance-owned TikTok as it has been in India. “It doesn’t seem like the sort of thing if you shut it down, it would be, you know, this economic catastrophe.” TikTok, Shareit, UC Browser, Likee, WeChat, and others were among the 59 apps in the first batch that were banned by the Indian government in June last year “given the information available, they are engaged in activities which are prejudicial to sovereignty and integrity of India, defense of India, security of the state and public order,” according to a statement by the Ministry of Electronics and IT.
According to a study titled Cambridge Bitcoin Electricity Consumption Index by the University of Cambridge, China’s share in global Bitcoin mining stood at around 65 percent as of April 2020, while the US accounted for only 7.2 percent of global bitcoin mining. Moreover, China also accounted for close to 80 percent of the worldwide crypto trade, consuming an enormous amount of electricity that has a risk of undercutting its own climate goals, according to a research paper published by the journal Nature Communications earlier this week. The study noted that China’s bitcoin mines would generate 130.5m metric tons of carbon emissions by 2024. This is near to the annual greenhouse gas emissions of Italy or Saudi Arabia.