Institutional investors have shown greater interest in carbon neutral Bitcoin (Bitcoin) One River Digital Asset Management’s investment solutions.
One River Digital is a hedge fund focused on cryptocurrencies, providing exposure to Bitcoin and Ethereum (Ethereum), Announce On Wednesday, the “majority of assets” in its institutional Bitcoin fund have chosen to switch to One River’s new carbon-neutral stock category.
In April, the company Introduction A new system that calculates the carbon cost of Bitcoin mining and purchases tokenized carbon credits to offset the environmental impact. Based on the estimated carbon emissions of each BTC and the offset market price required to offset the emissions, the carbon cost of mining one BTC is equivalent to $55 per year, or 0.15% of the cost of one BTC. One River purchases these tokenized carbon credits and verifies them on the blockchain.
Sebastian Bea, President of One River Digital, said that more and more institutional clients are turning to One River’s carbon-neutral BTC investment may be a signal of a broader investment trend.
“We believe that as the transparency of institutional portfolios increases, this reflects a broader shift in investor preferences. As the digital asset ecosystem seeks a 100% carbon neutral future, we look forward to more opportunities,” he said.
One River Digital did not immediately respond to Cointelegraph’s request for comment.
The latest news was released shortly after One River Digital Archive Carbon neutral bitcoin exchange traded fund in late May. The carbon neutral BTC ETF aims to reflect the performance of Bitcoin on a “carbon neutral basis”, that is, to offset the carbon footprint by buying and withdrawing carbon credits to offset the emissions related to Bitcoin in the trust.
One River’s carbon-neutral BTC investment tool emerged amidst the growing debate about the carbon impact of Bitcoin mining. Tesla suspends Bitcoin payments It took a month for its car due to related environmental issues. Major Bitcoin supporters such as MicroStrategy CEO Michael Saylor Believe Bitcoin mining is the highest value use of renewable energy and the highest use of wasted or stranded energy. According to Blockcap dataAs of May 2021, the human energy output used by Bitcoin is less than 0.1% of the world’s total.