Last Updated on: 9th July 2023, 06:49 pm
Bitcoin will likely use as much energy in the country 2021
The world’s largest cryptocurrency Bitcoin will consume 91 TWh of energy with its most expensive and powerful mining machines in 2021, as much as Pakistan consumes in one year.
Electricity usage has become the newest focal point for cryptocurrency watchers who consider it an energy hoarder.
In particular, the noise about the environmental impact of Bitcoin mining has gotten louder over time, and for good reason.
Bitcoin, the largest cryptocurrency by market capitalization, used around 67 TWh of electricity in 2020, and this year it looks like it wastes almost 91 TWh of energy, which is almost the same as Pakistan’s energy consumption.
Essentially, Bitcoin mining takes a lot of energy. For the sake of perspective, Satoshi Nakamoto, the pseudonymous inventor of Bitcoin, compared Bitcoin mining to gold mining.
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As per the research, it takes 12,500 USD to mine a Bitcoin block. As the value of the currency increases and more miners connect to the grid with less energy-efficient machines, financial and environmental prices skyrocket.
So while Bitcoin only accounts for 0.3% of global energy consumption, more and more expensive and powerful mining machines are needed, which will undoubtedly mean that Bitcoin will use more energy than Pakistan in the years to come.
Also Read: Crypto market is crashing, with Bitcoin tumbling below $50,000
