No phrase seems more oxymoronic than “sustainable crypto.” Over the last year, investors, executives and activists have been in conflict over the impacts of crypto mining on the environment. It’s a fight that is so heated that it has a large influence over investors’ choices when it comes to buying crypto mining stocks. In fact, celebrity investor Kevin O’Leary is seeking out crypto mining investments this week. But he is specifically looking for companies that use sustainable energy sources.
It’s important to note first that what makes a crypto miner sustainable is highly subjective. There are dozens of large-scale crypto mining efforts that claim to be sustainable, but that could really mean anything. Some companies buy carbon credits and mine in the same manner as non-sustainable firms; others might harness cleaner energy like natural gas or fuel sourced from waste.
Investors are parsing through the sea of crypto mining plays in the wake of O’Leary’s announcement. Many are seeking out stocks that play to his concern for energy consumption. After all, it’s apparent that more wasteful ventures will have a harder time operating in the future; nations are beginning to turn away new mining operations or banning mining outright. Not to mention, companies don’t know what to think of all this; chatter remains to this day over Tesla’s (NASDAQ:TSLA) refusal to accept Bitcoin (CCC:BTC-USD) after Elon Musk learned of the energy consumption of mining.
Sustainable Crypto Mining Stocks to Buy Like O’Leary
The sustainability drama wages on. But, investors aren’t waiting around for any clear-cut regulation or definition of what makes a sustainable miner. Rather, they’re making judgements for themselves.
Kevin O’Leary is one such investor. And, he’s looking to make a splash in sustainable crypto mining stocks after a big trip.
The Shark Tank star says he traveled to the Middle East recently, on the hunt for new ways to invest in Bitcoin mining. It was there he got excited at the idea of sustainable mining investments. O’Leary says as a result, he is seeking out new investments in the space. He even floated the idea of owning his own mining venture.
In the meantime, O’Leary is not alone in wanting to find sustainable crypto mining stocks. But what plays should one be looking into to invest in this space?
Well, an easy first option is the Viridi Cleaner Energy Crypto-Mining and Semiconductor ETF (NYSEARCA:RIGZ). The exchange-traded fund aggregates more energy-efficient crypto mining stocks, like Marathon Digital (NASDAQ:MARA), Hut 8 (NASDAQ:HUT) and BitFarms (NASDAQ:BITF).
Some other plays in this vein are Stronghold Digital (NASDAQ:SDIG) and Greenidge Generation (NASDAQ:GREE). These U.S.-based crypto mining firms both went public recently and harness coal waste and natural gas to fuel their operations, respectively.
On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
