It seems that as Bitcoin adoption is increasing some very important people in the weather business think that the energy-demanding Bitcoin transactions will shoot up the global temperature past the 2-degree threshold set under the Paris Climate Agreement.
But is Bitcoin really that energy inefficient or is it just a scheme to negatively affect its popularity?
Apart from the rise, many are not convinced and still think of Bitcoin as a complex and arduous. Moreover it’s nature to be free and exist outside of the state has the government rolling all over in agony. But if only you are smart enough, you’ll know that Bitcoin can’t be tamed so if you wanna be it’s lover, you gotta get with it’s friends – the whole package.
The problem doesn’t lie with Bitcoin itself but the main concern is that most of these rigs are coal-powered generators in China.
Each transaction requires 812 KWH, with that in mind, the annual demand is somewhere around 70 KWH. This is around 404.89 KG of carbon dioxide per translation that is pumped to the atmosphere. And, if this rate was to continue, it would be enough to push global temperatures above pre-industrial levels assuming if we keep using coal.
Despite of all this, bitcoin miners want to come up with a solution while some outright reject it saying that the stuff is “fundamentally flawed” because the global energy is actually de-carbonizing and efficient rigs are being made.
Furthermore, China isn’t the hub of mining rigs. There are other places such as Iceland that makes use of 200 percent renewables like geothermal and wind energy. According to Katrine Kelly-Pitou, Strategy Manager at the University of Pitsburgh’s Center for Energy, energy consumption can increase without negatively effecting the environment. She says that even if Bitcoin’s market cap was to increase 10 times, it will still be more efficient than traditional banking systems.
Bitcoin and other altcoins are here to stay
Time and again, it has become increasingly clear to us that Bitcoin is staying. No matter what environment or security related points you might pitch, Bitcoin will triumph them all.
However, you cannot turn a blind eye to the environmental concerns either. Noting that there is a direct relation between adoption and energy demands, Blockchain adopters and enthusiasts need to turn a notch up on their creativity and innovation to curb this problem.
Our goal is to stay profitable even if the energy requirements and fossil fuel prices rise.