Elon Musk Thinks This Is A 'Great Idea' To Utilize Energy Generated During Dogecoin Mining - Tesla (NASDAQ:TSLA)

Tesla Inc. TSLA CEO Elon Musk on Saturday backed a proposition from Blockfolio on how to utilize energy generated during the process of Dogecoin (DOGE) mining.

What Happened: Blockfolio in a tweet proposed “a hot tub that's heated by mining dogecoin,” which Musk dubbed a “great idea.”

The cryptocurrency exchange and portfolio tracking service provider called on Elon Musk to “just make it happen” no matter how.

Among others responding to the tweet, Dogecoin co-creator Billy Markus noted the high amount of heat generated when he used to mine the meme cryptocurrency.

“When I used to mine, [I] definitely didn’t need a heater anymore,” Markus said. “Only problem was that hardware burning smell.”

Some other users also noted the high amount of noise that is generated with some of the mining hardware.

Why It Matters: Musk has come intensely in support of Dogecoin over the past year and half, primarily citing its origin and existence as a meme as the basis of his support.

Tesla announced it would stop accepting Bitcoin (BTC) as a form of payment, earlier this month, citing environmental concerns related to the mining of the apex cryptocurrency.

Musk followed up with an announcement that he was working with Dogecoin developers and called for help from his followers on Twitter.

Dogecoin utilizes the scrypt proof-of-work algorithm against the SHA-256 algorithm utilized by Bitcoin, making it relatively more feasible to mine for individuals on their personal devices.

Musk, last week, also suggested he was taking a more nuanced approach towards the environmental concerns of Bitcoin mining, dubbing his talks with North American Bitcoin miners as “potentially promising.”

Price Action: Dogecoin traded 0.96% higher over 24 hours at press time at $0.3086. Bitcoin traded 2.9% higher at $36,817.17.

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