Green Bitcoin and CO2 Compensation

Organised by: Frankfurt School Blockchain Center
Date/Time: 2021-12-15T13:00:00Z2021-12-15T14:15:00Z

Location: Online
Description: The Frankfurt School Blockchain Center will host a panel discussion together with on the topic of sustainability in regards to crypto assets, specifically Bitcoin. The CO2 emissions associated with Bitcoin’s consensus mechanism, namely proof-of-work (PoW), have been one of the most significant criticisms of Bitcoin in recent years. Reconciling Bitcoin’s shortcomings and strengthening its role presents a significant opportunity to make Bitcoin a more sustainable investment.

The Frankfurt School Blockchain Center and have recently published a study outlining a new approach on how to offset the CO2 emissions caused by the Bitcoin network. The study outlines a two-pronged flexible carbon compensation model, in line with Greenhouse Gas Protocol Scope 3 emissions, for investors, asset managers, crypto exchanges, and custodians. With this approach, interested parties can adjust their carbon offset strategy over time according to their corresponding business model focusing on either the number of Bitcoins held or on the proportional network usage in relation to the Bitcoin blockchain growth during a specific period of time.

In their report, they try to explore this question and present a CO2 footprint calculation model that allows various stakeholders in the Bitcoin ecosystem to adjust their carbon offset strategy.