Market Manipulation
(Photo : Market Manipulation)

Tesla cannot afford to harm the environment. Apparently, they believe when they launch rockets, which are known to burn holes in the ozone layer, and put hundreds of satellites into orbit, they do not cause any harm to the Earth. Everyone acknowledges that cryptocurrency mining is considered extremely harmful so far. It turns out to be a kind of paradox, says Bohdan Prylepa, an IT industry expert and co-founder of Prof-it company.

"The crypto market is wild as always, but with new characters. Previously, I was impressed with Elon Musk as an ideological mastermind, a creator of technology and a dreamer. But now he has moved into a new direction - he is turning into a manipulator," - says Bohdan.

In mid-May, Musk announced that Tesla would no longer sell cars for bitcoin over climate concerns. As a result, Bitcoin fell in price dramatically. Immediately after the announcement, Musk posted a survey on Twitter about whether to add the option to buy cars for Dogecoin "Do you want Tesla to accept Doge?". Musk's poll received over 3.3 million responses in 12 hours, with nearly 78% of all the participants voting to approve the idea.

Elon has been talking about Dogecoin for a long time, since 2019. Recently, it became known that he has been working with a team of programmers the entire time to improve the network of this cryptocurrency. Mask owns 28% of all released DOGE, although this is not official information. Of course, it was profitable for him to pump DOGE by thousands of percent.

"Now he has decided to add meaning and importance to the meme coin, since, according to him, Dogecoin is a better alternative to bitcoin because it is faster and cheaper. But he did not consider the fact that bitcoin is decentralized, and it is almost impossible to hack the network since it will take trillions of dollars. But there are big doubts about Doge on both counts".

A few days later, it became clear where the ship commander, Elon Musk, was heading. His other company SpaceX announced it is going to launch a rocket called Doge-1 to the moon. But the most important thing is that this mission will take place because of funds raised from Dogecoin. I believe Musk just decided to amass funds for the launch of the Doge-1 rocket.

Okay, such situations happen in the world of finance. The problem is that hundreds of millions of ordinary people believe him. For many people, he is an idol and an ideologue. And he purposefully drew attention to Dogecoin, trying to play on his authority. He did it perfectly - DOGE grew 350 times in six months.

"Already, Doge is down almost 50%. I think in a couple of years it will fall even more. And then it will hurt everyone who followed Elon and dreamed of getting rich off this meme coin. 

Elon Musk is a dangerous dreamer. Now he has learned how to professionally take other people's money and fulfil his dreams with it. By the way, it is not for nothing that he named the ship Doge-1. So there will be a second and a third... So we need to wait for the script to continue?"

And well, returning to the question of bitcoin mining, it is not exactly known where the electricity for specific miners comes from. It may come from both thermal power plants that run on coal or gas, and from wind or tidal power plants that are environmentally friendly. In general, arguments about the sources of electricity in developed countries with diversified electricity production are meaningless.

"By the way, I do not undertake to defend bitcoin mining - it takes a lot of the planet's resources. Today this process is similar to the energy consumption of certain smaller countries", - Bogdan says. "What I am trying to say is that when earlier Musk earned on the BTC exchange rate, the mining issue did not bother him. In early February, Tesla bought bitcoins for $1.5 billion. This move greatly inflated BTC price on crypto exchanges".

The company said they were making these investments for "more flexibility to further diversify and maximize returns on their cash". However, at the end of March, Tesla sold their bitcoins for $272 million. Generating $101 million profit - an increase in profit from cash is obvious.

At the end of April, the market value of bitcoins owned by Tesla was $2.48 billion. With such a large amount of the bitcoin market in your hands, as they say, it's time to start questioning the environmental friendliness of its mining.

"And finally, I will say that in addition to ProfIT company, I am engaged in developing the Bitcoin Ultimatum project - a scalable blockchain (Bitcoin fork) with exceptional features such as smart contract and atomic swap capabilities, privacy, leasing & staking through a new consensus algorithm (UPos) - that solves the Bitcoin mining problem and offer eco-friendly staking. So BTCU is a new generation bitcoin with all the advantages and without disadvantages of its great original". 

ⓒ 2021 TECHTIMES.com All rights reserved. Do not reproduce without permission.
Tags: