Jensen Huang explains Bitcoin in his own words! BTC is an "energy conversion currency" that can be sent anywhere

NVIDIA CEO Jensen Huang described Bitcoin from an energy perspective at an event, stating that mining can transform excess or difficult-to-transport energy into a new form of currency that can circulate globally.

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At a forum, NVIDIA CEO Jensen Huang explained the creation of Bitcoin using an analogy rooted in industrial practice, illustrating its economic function. He pointed out that mining converts “excess energy” into a new form of currency, and this value can be taken anywhere. He succinctly emphasized this perspective:

Convert excess energy into a form called currency, and you can take this currency wherever you want to go. You extract energy from one place and bring its value to the world.

According to records, the forum Huang participated in was the Bipartisan Policy event held on September 27, 2024. At the time, he was responding to an audience question about “whether excess energy can be used to power AI computing.”

Huang explained that Bitcoin is created by using surplus energy to manufacture a “new form of currency,” and that excess energy can also be used to support data centers and deliver AI around the world.

This is not the first time Huang has spoken about Bitcoin or PoW-type cryptocurrencies; in fact, he has discussed crypto mining multiple times since 2021. He is very interested in this industry model of energy-to-currency conversion, not only because NVIDIA’s products are closely related to mining, but also because of the growing connection between AI computing power and mining.

Concepts and Boundaries

It is worth noting that Huang’s original words focused on the idea that “what is being transformed and transported is value, not the physical energy itself.” Bitcoin extracts the economic value of energy and moves it globally in the form of currency. This explains why mining is often understood as “turning energy that is hard to transport into capital that is easy to move.” This article only summarizes the main points from Jensen Huang’s public remarks and does not extend to clean energy policies, environmental, or cost details.

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“Jensen Huang personally explains Bitcoin! BTC as ‘energy conversion currency’ can be transferred anywhere” — This article was originally published on BlockTempo, the most influential blockchain news media.