Is It Time for Elon Musk to Bring Back Bitcoin Payments?

Bitcoin mining is now more sustainable than ever, according to new research from the University of Cambridge.

The report shows that 52.4% of the energy used in Bitcoin (BTC) mining now comes from sustainable sources — a sharp jump from just 37.6% in 2022.

This number is important because Tesla CEO Elon Musk once set a clear condition: if Bitcoin mining crossed 50% clean energy usage, Tesla would reconsider accepting Bitcoin payments. Even though that mark has now been passed, Tesla has yet to reintroduce Bitcoin as a payment option for its vehicles.

The Cambridge study broke down the energy mix, noting that 9.8% comes from nuclear power, while the remaining 42.6% is sourced from renewables like wind and hydropower. Interestingly, the report highlighted a major shift away from coal.

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Natural gas now accounts for 38.2% of Bitcoin’s energy use, replacing coal, which has dropped sharply to 8.9%.

The connection between Tesla and Bitcoin dates back to early 2021, when the automaker briefly accepted Bitcoin payments before suspending the option over environmental concerns. At the time, Musk promised that Tesla would allow Bitcoin transactions again once there was “around 50%” clean energy usage among miners.

Although Bitcoin mining has now achieved that benchmark, Tesla has not yet moved to reopen Bitcoin-based purchases. Whether this shift in Bitcoin’s energy profile will push Tesla to revisit its policy remains uncertain.

Alexander Stefanov