Bitcoin (BTC) is often criticized for its high electricity costs, but the payment network is slowly going green. A new report from the Bitcoin Mining Council indicates that the energy used to mine the largest cryptocurrency is now 60% renewable
Renewable energy increasingly used to mine Bitcoin
It’s a global trend, and cryptocurrency is no exception: the electricity used is increasingly coming from “green” sources. A report from the Bitcoin Mining Council states that 59.5% of Bitcoin is mined from renewable energy:
“[The share] increased by 6% over the year, […] making it one of the most sustainable industries overall. “
Another positive for cryptocurrency is that its energy efficiency, i.e. its ability to operate with as little electricity as possible, has also increased. Over the course of a year, this metric has thus increased by 46%. In short, the Bitcoin network operates with greener electricity, and needs less and less electricity for the same performance.
Comparison of renewable share for Bitcoin and different countries in the world
A network that continues to evolve
The Bitcoin Mining Council was formed by several major industry players to combat the misconceptions that often circulate about the largest cryptocurrency. According to Michael Saylor, CEO of MicroStrategy and chairman of the organization, the Bitcoin network is constantly evolving and improving its efficiency:
“In the second quarter of 2022, the Bitcoin network’s hashrate and security increased by 137% over the previous year, with energy usage increasing by only 63%. “
Saylor cites several reasons for this development, including advances in the semiconductor industry, the exodus of Chinese miners to the US, and the overall rise in renewable energy.
Bitcoin continues to go green
The electricity costs of the Bitcoin network are often discussed at length. However, miners are largely encouraged to use renewable energy. On the one hand, because it is a ubiquitous topic in the industry, and on the other because it is often the cheapest form of electricity.
So whether you think the energy burden of BTC mining is too high, or whether you justify it by its existential necessity, one thing is certain: the payment network continues to go green.
