If this big boss says so… KPMG is one of the four largestaudit in the world, along with Deloitte, PricewaterhouseCoopers and Ernst & Young. It is present in 143 countries and employs over 260,000 people. This major player in the sector has decided to apply to Bitcoin the same criteria ofextra-financial analysis which it uses for a conventional company seeking to understand its impact on the environment and society. The acronym ESG refers to the three main commonly accepted observation criteria: environment, social and governance.
After briefly recalling what is Bitcointeams from KPMG demonstrate right from the introduction that Bitcoin is not the energy consumption monster often described. On the contrary, compared to other economic sectors, it’s actually quite frugal. But without further ado, let’s take a look at these 12 pages of dense analysis, starting with environmental impact, then social issues, and ending quickly with governance.
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Bitcoin, an ally in the fight for climate protection
Miners make renewable energy installations profitable
We’ve written about it frequently in our columns. Visit bitcoin mining has long since positioned itself in the field of renewable energy sources (RE). Not necessarily for ethical or ecological reasons at the outset, but above all for economic reasons.
As a major energy consumer, it’s important to find inexpensive sources. However, it appears that renewable energy installations are always the same. problems from discontinuous production (wind, sun, …), ofdistance from consumption centers and profitability of start-up facilities. The installation of bitcoin miners can help to solve some or all of these problems, and thus participate in the installation of new structures, as we can read in the report by KPMG.
In addition, a mining can easily find its place in an energy network that would have a regular surplus and use it. When demand increases, it will switch off. Because that’s what’s so special about this business: its great flexibility which optimizes the least amount of energy, thus saving it.
Heat recovery and reduction of methane emissions
Next, KPMG looked at another aspect of the industry: its collateral production of heat which can be recovered in many ways so as not to lose it. Collective heating of shopping centers, public buildings, etc. Numerous examples exist, and others are under construction.
Finally, the last virtuous example concerning the environment is the use of mining units to recuperate and make use of the energy produced. flue gases in the four corners of the world by the oil industry and which pollute enormously in what is called : natural gas flaring. By using this ready-to-waste energy, the miners recover a waste product, while reducing methane emissions.
How Bitcoin promotes financial inclusion and fights inflation
A tool for the weak and exiled
Let’s move on to human issues behind Bitcoin. And here again, KPMG’s researchers are unanimous: this is a major step forward, despite the bad publicity surrounding the latter’s illegal uses. First of all, the audit highlights the transparent nature of blockchain, which really does prevent organized crime from using it. Secondly, the report highlights the technology’s overriding interest in money transfers between emigrant workers and their countries of origin, as in Africa or in Latin America.
Easy, inexpensive and accessible to all, Bitcoin makes it possible to democratize international payments. Of course, the report also stresses the universal nature of this system, which cannot be censored. In countries where minorities are not allowed to express themselves or receive donations, Bitcoin becomes a tool for emancipation.
A bulwark against inflation for the benefit of all
Finally, from an economic point of view, KPMG acknowledges that Bitcoin can also be a protection against inflation or even devaluation of the national currency. Turkey, Argentina, Venezuela, Nigeria, Ghana: these are just some of the examples of cryptocurrencies acting as monetary emergency exit. The final criterion addressed by the experts is that of the governance. Normally, for a company, it’s a question of assessing the proper administration of the structure, observing decision-making criteria and the participation of all stakeholders.
As far as Bitcoin is concerned, the results are indisputable. The decentralization is almost total. Majority decision-making was mandatory. As for the network’s robustness and resilience, they are beyond reproach.
This report can be summed up succinctly, but we invite you to read it in its entirety. the study is fascinating. Of course, you could say that we’ve said it before, but when it’s KPMG who writes it. L’impact is therefore still more important. Finally, we’d like to confess that we’d like to be able to discreetly place this report on a number of desks. in Europe, the United States and Paristo get people thinking a little differently about our favorite crypto.
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