Many assert that Bitcoin is an environmental disaster and propagate a narrative that it consumes more energy than certain nations. However, these claims are misleading and don’t tell the whole story.
Bitcoin energy consumption debunked
Here’s the reality: the entire Bitcoin network consumes about one-tenth of one percent of the world’s annual energy consumption. For further perspective, according to estimates, approximately one-third of the world’s energy is lost every year. Here’s bitcoin energy consumption debunked.
Bitcoin v. other industries
In addition, Bitcoin’s carbon footprint is negligible compared to virtually every other major industry worldwide. For instance, air conditioners and electric fans emit over 2,300% more carbon than the entire Bitcoin network. The gold and banking industries, two systems that Bitcoin attempts to disrupt, each emits 200% more carbon than the Bitcoin network. Data centers emit about 140% more carbon than Bitcoin. Even tumble dryers create a bigger carbon footprint than the world’s largest cryptocurrency.
Bitcoin and renewable energy
Given the above, it seems unfair and unwise to single out Bitcoin for scrutiny. Moreover, unlike the products and industries mentioned above, most of Bitcoin’s energy comes from renewable sources. In particular, Bitcoin miners utilize a substantial amount of hydroelectric, geothermal, and solar power. Much of this energy would go to waste if not for Bitcoin.
So what are your thoughts? Does a monetary system like Bitcoin, which offers economic freedom to billions, have the right to consume as much energy as your clothes dryer? Let us know in the comments below.
Ashton Cohen is an attorney, investor, writer, and host of Ashton Cohen: The ELECTile Dysfunction Podcast.
