Bitcoin doesn't damage the environment as much as it is often portrayed. In this article I examine a relevant report.
How bad is proof-of-work really?
A well-known and dreaded topic in the Bitcoin community:
The ecological footprint of proof-of-work. Is the network security justifiable when it comes at the cost of millions of miners burning electricity on cryptographic puzzles?
Don't we have enough environmental issues already?
Turns out - the damage associated with Bitcoin mining may be far less than those of traditional currencies
A recent report by Elaine Ou of Bloomberg (Lol, as if they have any authority on this field) argues, gold mining, the production of cash and the necessary data centers consume significantly more energy than Bitcoin mining!
Yeah, take that Federal Reserve!
The study argues, that the yearly power consumption of BTC mining amounts to something around 8.27 TWh per year. Yeah, that's Terawatt hours, I know it's a scary number. In fact, it is more that Ireland and other small countries consume per year.
This is only about 1/8 of what US datacenters consume per year.
The global production of traditional currencies consume an estimated amount of 11 TWh annually.
To mine Gold more that 132 TWh of electricity is consumed every year.
What's more, these numbers don't take into account the massive amount of electricity spent on maintaining the traditional financial infrastructure such as banks, security systems and safety vaults, that are used to keep cash and precious metals safe.
Looks like this argument against Bitcoin no longer stands: We can now say with fair certainty that Bitcoin consumes less energy than it's non-digital counterparts.
It kind of makes sense right?
A decentralized self-governed system that makes a massive outdated sector of infrastructure obsolete? Surely it must be more efficient too. That's just talking about electricity, not even touching the topic of all the clowns wearing suits....
The term "traditional currencies" in this article refers to coins such as the USD coin - Would not invest, definitely a scam.
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- Nick ( @cryptonik ) -