Cryptocurrency mining has garnered a reputation as an energy hog due to the amount of energy needed to power the data centers focused on accomplishing Bitcoin’s “Proof of Work”. There is no doubt that the mining process is a significant consumer of electricity and when measured on a per-transaction basis is quite expensive. However the increasing alignment of cryptocurrency mines to renewable energy sources limits the carbon footprint of these mines and helps give these energy sources a stable energy sink. Further, the newest mines are moving towards an off-grid model with purpose-built power plants that may one day plug into the grid supplying energy for impoverished regions.
This article takes look at debunking Bitcoin’s reputation as an energy hog through a number of comparisons to “real-world” data centers and other energy consumers. Additionally, it hits on the benefits around cryptocurrency mines leveraging clean energy as a source for powering their operations.