Current Challenges

The rate of development in this 21st century is shooting high, this is to our advantage though it comes at a cost, greenhouse gas emissions. Greenhouse gases, especially carbon dioxide responsible for global warming and climate change. mining cryptocurrencies use a number of tools that require large volumes of energy, which leaves a big carbon footprint. Currently, electric-powered mining containers are what are available. However, PVC has worked to provide a solution for this by designing mining containers that will be powered by green energy, thus reducing greenhouse gas emissions.

In addition, the crypto mining business model is highly dependent on the energy supply. The price and availability of electric power are the two most important factors for mining companies. On a macro level, the hunt for cheap energy has led to a concentration of mining operations in countries with low socio-economic and environmental standards, and therefore cheap fossil electricity. As a negative consequence of this low-cost, “dirty” energy, the mining of cryptocurrencies has significantly contributed to climate change and largely affected the standards of living in the host communities.

The concentration of mining operations in a few authoritarian countries meanwhile, undermines the distributed ledger system and increases the risk of manipulations. On a micro level, miners have become vulnerable to energy price fluctuations and regulatory changes. The competitive advantage of many companies in this sector depends on the willingness of a handful of regimes to tolerate cryptocurrencies, keep energy prices low and maintain friendly regulations. That is, obviously, the business model of an industry in its early stages. Next-generation mining operations will be climate-friendly, more resilient against local price fluctuations and regulatory changes, more profitable, and more decentralized. Consequently, Pivotalcoin’s technology-driven business model, which combines green energy sources with economic viability on a global scale, is part of this next generation.