The impact of Bitcoin mining on the global economy is not well measured, according to the IMF.
Daniel Batten responds that much of Bitcoin’s consumption comes from wasted sources.
The International Monetary Fund published on July 31 a report by praising the new standards of the National Accounts System (SCN) to evaluate global economic information. In it, he had words for Bitcoin, his mining and energy consumption that derives from his practice.
For the IMF, Bitcoin is a kind of industry that does not appear on radar and “it consumes as much electricity as Argentina, but is not counted in GDP (Gross Domestic Product) because it does not generate traditional goods or services.” For one of the largest energy consumption specialists in the Bitcoin industry, Daniel Batten, the IMF report is an attack on mining and suffers from argumentative holes.
Justifying the comparison with Argentina, the IMF published in his X account and in his Report A graph that shows the annual consumption of Bitcoin mining measured in Terawatts per hour (TWH).
According to data from the Foundation for Electrical Development (Fundelec) cited by a general medium, the consumption of electricity throughout Argentina reached 140.2 twh in the year 2024. In quantitative terms, The comparison made by the IMF is, in broad strokes.
For the IMF, the impact of cryptoactives on the global economy is not well measured, while Bitcoin, for example, It does not follow a model of “creation of goods or services in the traditional sense”. The update of the standards by the SCN It would help to measure this impact better, focused on the classification and methodological inclusion of digital technologies.
Another important driver of the SCN update is the growing importance of cryptoactives, which was one of the most difficult to address. Bitcoin, for example, has a tangible economic impact, even because it consumes large amounts of energy to produce. However, because it does not imply the creation of goods or services in the traditional sense, it is not counted in the gross domestic product.
International Monetary Fund.
The measurement of cryptocurrencies and their economic impact is crucial from a public policy perspective, considers the IMF, since this impact could have significant implications “for financial stability, fiscal policy and future regulatory supervision.”
A Bitcoin and Energy specialist responds to the IMF
According to Daniel Batten, Bitcoin analyst and investor in sustainable technologies, The statistics shared by the IMF is misleading. The IMF does not say, for example, that “much of Bitcoin’s energy consumption often comes from stranded and wasted sources that others cannot take advantage of,” he says. Batten believes that there is a lot of misinformation about the energy and climatic effects of Bitcoin mining.
It has been demonstrated in 20 articles reviewed by pairs and 7 independent studies that [la minería de Bitcoin] Stabilize and decarbonize networks, mitigate methane and reduce electricity prices, and that 52.4% of its energy comes from sustainable sources (unlike the much less sustainable energy combination of the banking sector and gold mining, to which Bitcoin offers viable and technologically superior alternatives). (…). Contrary to the implications of this tweet, Bitcoin has 19 well -documented use cases that create value for society.
Daniel Batten, Bitcoin analyst.
In his response, the analyst links a post where he himself List the articles revised by pairs on Bitcoin and its energy sustainability.
In parallel, Batten believes that IMF has conflict of interest against Bitcoin. By competing in the money sector, Bitcoin (BTC) is a currency that has the potential to disorderly the organismto the extent that it supplants its functions with decentralized technologies.
«Bitcoin threatens the IMF with the disintermediation in five ways that I have previously classified here. The IMF is reputed to openly oppose Bitcoin, repeatedly citing ‘concerns’ that have never materialized, ”said the investor, making clear his position with respect to the IMF and Bitcoin’s mining.
