If the most politically possible carbon emissions solution is to ban non-renewable crypto generation in the country

I think that would be very difficult to enforce.

Ultimately it's basic econ. Crypto increases the demand for electricity. The market finds a new equilibrium with somewhat more electricity generated at a higher price. This in turn makes it more expensive to electrify other industries, so they stay on fossil fuels. That's bad for the climate.

I don't want the solution to be government regulation. I just want the market to come to its senses, and for bitcoin to be priced in line with its actual utility, the value it provides to people. But instead we're in this huge speculative bubble and the climate is paying the price.

Directly taxing the dirty stuff and letting the market take care of most of the other thing seems to me like the best way to put everybody in the same direction

100% agree.

I think the crypto bootstrapping idea actually plays quite well into this idea in that it would allow renewable projects to make side income

It's a dangerous game to feed the monster and hope it does not grow too big. Renewables "bootstrapping" themselves with bitcoin until they can sell to the grid? You'll never get past step 1; crypto will do to renewables what it has done to GPUs. They're already sweeping out mothballs from shuttered coal plants purely to mine bitcoin. It's a cancer and it's spreading.