As Bitcoin mining operations become more efficient, their emissions intensity is also decreasing and sustainable energy sources are being adopted by an increasing number of miners.
Furthermore, hardware efficiency has also seen a notable improvement, resulting in a more sustainable mining environment.
Recent Emission Reports
Daniel Batten, a climate technology venture investor, has reported that the emissions intensity of Bitcoin mining has hit its lowest-ever level, as demonstrated by Woo Charts. These findings indicate that the energy consumption of Bitcoin is now lower than its energy emissions. Batten also predicts that within three and a half years, Bitcoin will halve its emissions per kWh.
Majorly, two primary factors have contributed to the decrease in emissions intensity. The majority of Bitcoin miners have shifted to using more sustainable energy sources, and secondly, advances in mining hardware have also made it much more efficient.
Batten has included a chart on Bitcoin mining sustainability, with the value staying close to its peak of 54%. He noted that a large proportion of the new hash rate entering the network is being powered sustainably, leading to more than half of the network being powered by renewable energy sources. Consequently, the sustainability of the mining process also stays high.
The Current Mining Environment
In the past two weeks, there has been a rise in total emissions due to a significant increase in hash rate without a corresponding rise in mining activity from flared or vented methane.
However, according to BeInCrypto’s report in late March, Bitcoin mining is now more eco-friendly than electric vehicle technology, with hydroelectric energy as the main source of power, as stated by Batten.
Despite a 6.2% yearly decrease in fossil fuel sources since January 2020, prominent lawmakers have yet to officially recognize the improvements in energy efficiency. However, despite some resistance, the passing of a new bill in Texas, a mining mecca, legitimizing the mining of Bitcoin indicates an official acknowledgment of the efficiency gains that have been made.