Updated: 2 days ago
As you may be aware that I'm running a Quora Space on which one can ask their questions. And I'm also active in several other Spaces. I have answered a question about the stock market crash in another Quora Space. At the same time, I was answering that my mind wandered into the market of cryptocurrency. Then made me realize the conspiracy behind Elon Musk's tweet on Bitcoin. We're going to talk about this fascinating topic.
He says, "Bitcoin mining is not eco-friendly and has a negative effect on the environment." So, what made the famous billionaire say this. Of course, he is a genius who's gonna takes us to Mars one day. But is it really the case?
Bitcoin mining is a complex mechanism that helps the transaction of payments and other things. It consumes a lot of energy, that's for sure. But is it that hazardous to the environment?
Bitcoin mining network consumes 113 TWh/yr, which is very much less than the banking system, which consumes 263 TWh/yr, followed by gold mining which consumes 240 TWh/yr. As you can see that it is relatively lesser than the banking network system and gold mining system.
To add up, that Bitcoin is a decentralized cryptocurrency which means it can be used throughout the globe for any transactions. This means that it is way cheaper than transacting payments through the traditional banking system.
Bitcoin provides much lesser payment to the miners, unlike before, which makes it very unlikely for the miners to get many returns out of their investment. So, miners now are moving to renewable power sources to provide energy to their mining setups like solar panels and windmills.
The above simple statistics and logic has made itself clear that what Elon Musk said is wrong. It is cheaper and much friendlier to the environment than other traditional network systems.
Why would someone like Elon Musk have to provide people with false information such as this? The answer is straightforward. It is market manipulation. Famous people are often paid to provide false information about these market structures to temporarily make them fall.
Banks and stock market sharks often do this. They sell part of their shares to make the prices fall. Once short positions have been ruled out and new long positions have been made, they enter in their low price to make a bigger profit percentage.
This is a spooky way one can make their pockets full. Though it sounds illegal, it is totally legal unless and until someone is obligated by any other means.
When Elon Musk made bitcoin lose almost 30,000 USD (50%), Tesla held onto its bitcoin reserve instead of liquidating them.
"Tesla will not be selling any Bitcoin, and we intend to use it for transactions as soon as mining transitions to more sustainable energy," says the Chief Financial Officer of Tesla. And there were claims that Tesla would suspend accepting payment in the mode of Bitcoin for any purchase. But this is just a cover for what his true intention might be.
As we are aware that Space-X has been doing worse, and hardly has enough money to make their last rocket. He also stated that "We used the last blasted rocket's scraps to make the new one." We're talking about rocket science here. It is a highly unlikely scenario to put together damaged and repaired parts for their final attempt. This is a little suspicious statement made by one of the best minds of this decade.
They needed funds to make themselves sustain at least a little further. At least until a successful Space-X model. If not, NASA would withdraw its support towards Space- X and give the contract to other competitors like Jeff Bezos.
As we have seen previously, the manipulation of the market is something that has been in practice for a long time. We can only assume that Musk had bought a ton of bitcoin with the money he had left to use for his projects.
This is a very clever and unexpected act he pulled. And for someone who has a huge fan base and millions of followers like Elon Musk, all it took was a single tweet. The market fell 50 percent, which may have affected many individuals and organizations that had been using bitcoin for their transactions.
I have no right to say that it is an unjust activity, but it seems like someone's misusing their public exposure and the power that was granted.
Like Uncle Ben once said, "With great power comes great responsibility." The banks and other hedge funds manipulating the market is entirely different from what Elon has done. They stake their money and make profits back. But making a market fall with a single tweet is hazardous power.
At the end of the day, it is just a theory.
Let's wish that one with greater power uses it wisely!
Comment your opinion on this topic.