The Bitcoin Mining Council, an organization created to promote the use of renewable energy in the Bitcoin mining industry, has released its first state-of-the-art briefing report.
At first glance, the findings of the Bitcoin Mining Board look promising.
The report shows that sustainable energy use increased 52.2% between the first and second quarter of 2021, with a 15% increase in grid efficiency measured in PH/MW.
Similarly, it was revealed that 67.6% of the total energy used for Bitcoin mining comes from sustainable sources, ensuring a much lower environmental impact than the industry in other countries, especially China, where most of the Bitcoin hashing is based, and where a large portion of miners use Bitcoin electricity generated from coal-fired plants.
Additional data shared in the report indicated that concerns about the environmental impact of bitcoin mining may be decontextualized or overestimated. For example, the network’s power consumption represents 0.007% of the global total.
Also, 56% of all global bitcoin mining is based on sustainable energy.
Is the report supported by the scientific method?
The Bitcoin Mining Board started in response to Elon Musk’s alleged concerns about the environmental impact of Bitcoin mining.
When Elon Musk shared on Twitter the announcement that Tesla would stop accepting bitcoin as a payment method due to environmental issues, bitcoin entered a slump that marked the beginning of the end of a bullish trend it has maintained since the collapse caused by the coronavirus outbreak, a year ago.
The approach taken by researchers to arrive at these numbers is difficult to understand…data on sustainable energy use and increased efficiency were compiled using a three-question survey and documented research using online sources.
However, the sample size and the margin of error remain unknown.
Another point to consider is the point raised by Larry Cermak, director of research at “The Block”, where he explained that there is currently an exodus of miners who are trying to settle in other regions after China’s crackdown on the industry, and therefore it is difficult to measure and know the numbers and where they come from Mining process from clean electricity or other.
Long before the speculations of Tesla and the Chinese attack on mining, there were reports of miners migrating to Iran.
Today Kazakhstan looks like a destination under study for big miners.
But there is an underlying danger.
Experts are already warning that large miners may migrate to other countries and maintain their reliance on polluting energies.
This will simply “export” the pollution without really changing the basics.
This will be bad news for many of the speculators who are counting on a change in Musk’s position.
So the current effort is to change the sources of bitcoin mining by making the mining process use more than 50% renewable energy across the entire network, not just among the members of the bitcoin mining board.