Meanwhile, Riot Platforms is crowing all the way to the bank on record revenue, an eye-popping $161.4 million in Q1 2025. Now, as CEO Jason Les preaches the importance of collaboration among teammates, the stock has popped. Let's cut through the celebratory noise. That revenue comes at a horrendous cost. It exposes the hypocrisy at the heart of Bitcoin’s alleged energy revolution, greenwashing the serious environmental harm in the process.

Bitcoin's Mirage: Green Energy Savior?

The narrative is seductive: Bitcoin mining, powered by stranded or excess renewable energy, can incentivize the development of green power infrastructure. With Texas-sized ambitions Riot stands a perfect example of creative destruction. They’re constructing facilities, purchasing land, and vowing a future of AI fueled by…Bitcoin?

Let's be brutally honest. While Riot might claim to use renewables some of the time, their psychological operations have a bottomless appetite and thus leave them utterly at the mercy of the grid. And what powers the grid? Primarily fossil fuels. Renewables such as solar and wind energy are wonderful, but can sometimes be intermittent. That’s part of the reason we use gas-fired plants as backup power so frequently. This isn’t a sensible fix to climate change — it’s a hefty liability.

To make matters worse, the halving event, intentionally implemented to restrict the demand for the currency, has drastically inflated mining costs. In Q1 2025, Riot wasted an astonishing $43,808 to mine a single Bitcoin. That number is about twice as much as they spent the year before! This isn’t only terrible for Riot’s profits (hey there, $296.4 million net loss!), it’s a tragedy for the planet. With companies facing falling mining profits, there is a profit imperative for energy sources to become increasingly cheap. Sadly, these options are often the filthiest ones offered.

Riot’s strategic pivot to AI and high-performance computing, which would take root in its Corsicana facility, reeks of Hail Mary. Reading the writing on the wall, they’re working to reframe their image as more than just energy-guzzling Bitcoin miners. Competitors such as Hut 8 and Core Scientific have quickly followed suit. This move signals the industry’s recognition of its own vulnerable state.

AI Pivot: A Desperate Diversion?

Make no mistake: AI is incredibly energy-intensive. Changing the subject from Bitcoin to AI doesn’t make the deeper issue disappear. It just pushes the demand over to another industry. Consider it the short-sighted equivalent of rearranging deck chairs on the Titanic. The fundamental unsustainability remains.

Furthermore, this pivot underscores a deeper truth: Bitcoin mining, at its core, is a speculative activity. It generates nothing of inherent value. It’s a digital wild west, powered by speculation and the dream of making a fortune in the next big thing. Unlike these other technologies, AI has the potential to produce measurable economic gains. Tying AI’s fortunes and the fate of potentially countless infrastructure projects to the speculative and highly damaging practice of Bitcoin mining is a risky bet.

We need to be clear: the current situation is unsustainable. If the harmful effects of bitcoin mining are left alone, it will only contribute more to the climate crisis and waste our valuable resources. The answer, crucially, is not technological innovation alone, but rather regulation.

Regulation: The Only Way Forward

You know a few of the members will cry foul, claiming that bad regulation is what kills innovation. Real innovation isn’t achieved at the planet’s expense. It springs from delivering sustainable solutions that are better for both the bottom line and the planet. At this moment, Bitcoin mining is failing that test, spectacularly.

Riot's record revenue is a smokescreen, obscuring the fatal flaw in Bitcoin's energy dream. The awakening has arrived, and now is the time to stand up and fight for our future. The flip side is a world where our digital wealth is based on a legacy of environmental devastation. And that’s a cost we just can’t afford. The mental health of our future generations hangs in the balance.

  • Carbon Tax: Impose a carbon tax on Bitcoin mining operations, forcing them to internalize the true cost of their environmental impact.
  • Energy Efficiency Standards: Mandate minimum energy efficiency standards for mining hardware, incentivizing the development of more sustainable technologies.
  • Transparency Requirements: Require mining companies to disclose their energy sources and carbon footprint, allowing investors and consumers to make informed decisions.

Some will cry foul, claiming that regulation stifles innovation. But true innovation doesn't come at the expense of the planet. It comes from finding sustainable solutions that benefit both the economy and the environment. And right now, Bitcoin mining is failing that test, spectacularly.

Riot's record revenue is a smokescreen, obscuring the fatal flaw in Bitcoin's energy dream. It's time to wake up and demand a better future. The alternative is a world where digital riches are built on a foundation of environmental ruin. And that's a price we simply cannot afford to pay. The anxiety of the future generations is at stake.