Why energy consumption by bitcoins is harmful to climate change

As Bitcoin comprehends new heights, the billionaire-philanthropist Bill Gates beats anxious about the strikingly high carbon trail cryptocurrencies, which will only deteriorate, as the mass introduction of the world’s largest cryptocurrency, as expected, will grow rapidly.

«Bitcoin uses more electricity to one transaction than any other method known to humanity»

According to Gates, Alex De Vris, a data processing specialist from the Central Bank of the Netherlands, evaluates that for each bitcoin transaction is required, on average, 300 kg of carbon dioxide (CO2), which is equivalent to the carbon trace produced by approximately 750,000 Visa card readers .

This is because almost all cryptocurrencies, including bitcoins, document each transaction in the so-called public registry, which helps to provide transaction transparency and safety from unauthorized access, but constantly requires an additional storage room or «blocks».

Blocks are created by miners, intermediaries who are awarded by Bitcoins for their work, performing code around the clock on special equipment, called drilling plants, is a process that consumes the same amount of energy per year (about 78.5 terravatt-hours), as those of countries, Like Chile, Austria and Finland.

The problem is aggravated by the fact that the mining networks are mainly based in China, which receives most of its energy from fossil fuels, such as coal, and as cryptocurrency is becoming increasingly popular, its energy consumption has increased 10 times with 2017.

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«The mining is a process that makes bitcoine is extremely energy-intensive in nature, since the currency requires a huge number … computations to achieve its ultimate goal of processing financial transactions without intermediaries (peer-to-peer networks)»,

According to DigiConomist, one bitcoin transaction uses about 707.6 kilowatt-hours of electricity, which is equivalent to the power consumed by the Middle House in the US in 24 days. Every year Bitcoin consumes more energy than all countries except 38, which corresponds to such countries as Finland, Chile and Austria.

The inner Mongolia region of China plans to close its cryptocurrency mining projects by April after he could not achieve the goals set by the government to reduce energy consumption in 2019. The United States did not take tough measures at the federal level, but some states such as New York and Washington took action. Maining restrictions issued.

«We believe that cryptocurrency, ultimately, will be fully provided with clean energy, which will eliminate its carbon footprint and will stimulate the introduction of renewable energy sources all over the world.»

As the result of this material I can say that the development of the electro-energy and technologies awaits us. So how long to continue the «burning» of energy to ensure bitcoin processes can not. The process does not stop, so it remains to wait for new technological developments that move the trailer and the informational sphere.

We see how popular video cards applied in mining and how much because of this, prices for the entire segment of computer equipment have risen. New solutions will reduce the maintenance technologies and increase the efficiency.