Bitcoin Mining & Renewable Energy
What if BTC could be a tool to enhance the transition to renewable energies?
Interesting:
The global popularity of Bitcoin (BTC) has resulted in its network energy consumption sitting at 147.3 terawatt-hours per year as of Jan. 19, 2024.
This puts the network close to the yearly average energy consumption of countries such as Ukraine, Malaysia and Poland, according to the University of Cambridge.
On Jan. 18, 2024, Bitcoin mining sustainable energy usage hit a new all-time high of 54.5%, according to the Bitcoin ESG Forecast.
Bitcoin mining has become an ideal candidate to boost the transition to renewable energies and offer promising potential revenue for the green energy industry.
...establishing Bitcoin mining operations in strategic locations could diminish the environmental footprint of cryptocurrencies by serving as revenue that can be directed toward future investments in renewable energy projects.
... monetizing the excess power collected by renewable energy could earn hundreds of millions of dollars thanks to Bitcoin mining... there is substantial revenue potential during the pre-commercial development phase of wind or solar farms.
Bitcoin mining could give renewable utilities “the ability to play the arbitrage between electricity prices and Bitcoin prices.
Bitcoin mining can move to wherever an excess of energy is produced, making it effectively location-agnostic...it is important to site the mining farm strategically to maximize productivity. (Mobile Crypto Mining Data Center Solutions - https://www.minerbase.com/en)
...baseload renewable sources like hydro and geothermal. Mining using these sources is much simpler, as they are more stable and can offer a higher up-time than wind or solar.
“We believe in the long run hydroelectricity should be one of the most cost-effective sources of power for many years to come, so we don’t need to choose between being sustainable and being cost-effective.”
Mellerud recounted a real case scenario where Hashlabs implemented a Bitcoin mining facility in Ethiopia powered solely by renewable energy sources. Ethiopian electricity generation consists of 94% hydro, 5% wind and 1% solar, with the country’s 25% electricity surplus expected to grow as new hydroelectric power plants open.
For the Bitcoin miners, this activity is a win-win scenario, as they are helping the utility finance new electrical infrastructure buildouts for the country’s growing population.
“Bitcoin mining is the only economic incentive on the planet to voluntarily reduce energy waste and emissions not funded by a subsidy. It’s the only one. There is no need for a government policy to incentivize this behavior! Bitcoin mining is the incentive to do just that!”
“ability to harness energy is a cornerstone of society and human progress.”
“Bitcoin mining is a tremendous force for good and a powerful story to be told. It just hasn’t been heard yet by enough people, but as Bitcoin mining continues to prove itself as a force for good, it should inevitably be embraced.”
Bitcoin should be viewed not merely as an energy consumer but as a facilitator for more efficient and sustainable energy use.
Both sides of the coin need to be considered, especially when the final objective is to improve global climate conditions.
https://cointelegraph.com/news/bitcoin-mining-renewable-energy-transition
From Mining to Mitigation: How Bitcoin Can Support Renewable Energy Development and Climate Action
https://pubs.acs.org/doi/10.1021/acssuschemeng.3c05445
