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, for example, states that Bitcoin is mined 59.5% from renewable energy:
“[The share] increased by 6% over the year, […] making it one of the most sustainable industries overall.”
Another positive for the cryptocurrency is that its energy efficiency, or its ability to operate with as little electricity as possible, has also increased. Over the course of a year, this metric has increased by 46% as a result. To summarize: the Bitcoin network operates with greener electricity, and it needs less and less of it for the same performance.
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 continues to evolve and improve its efficiency:
“In the second quarter of 2022, the Bitcoin network’s hashrate and security increased by 137 percent year-over-year, with energy usage increasing by only 63 percent.”
Saylor cites several reasons for this development, including advances in the semiconductor industry, the exodus of Chinese miners to the United States, or the overall rise of 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’s a ubiquitous topic in the industry, and on the other because it’s often the cheapest form of electricity.
So whether the energy burden of BTC mining is considered too high or justified by its existential necessity, one thing is certain: the payment network continues to go green.
