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How does crypto mining help preserve the ecology of the Earth?

Cryptocurrency has never been as close to nature as it is today.

Published: October 14, 2021 By Darina Shramko

Title image for How does crypto mining help preserve the ecology of the Earth?

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From everywhere, we hear loud slogans that bitcoin mining (like any other cryptocurrency) is killing the environment. Indeed, the energy consumption of electronic money recently peaked and exceeded the scale of some European countries.

The dangers of bitcoin have been talked about for a long time. Still, the actual "boom" happened in May when Elon Musk announced that Tesla would no longer accept cryptocurrency as a means of payment due to increasing environmental pollution.

So, recently, researchers at the University of Cambridge experimented, as a result of which it turned out that bitcoin annually consumes more electricity than the whole of Argentina: about 121.36 terawatt-hours of electricity per year!

But... is it possible that an ecological catastrophe on Earth will happen only because of cryptocurrency mining? I would not be so categorical.

Today we will figure out how accurate the myths about the dangers of mining are and how bitcoin helps improve the world's environmental situation.

Disclaimer: We in no way want to offend or offend anyone's principled position regarding the environmental friendliness of crypto mining! This article is for education purposes only. We just want to inform you about ways to improve the ecological situation in the world through the use of alternative sources of crypto mining.

Mining harm: myth and reality

Cryptocurrency mining is gaining insane popularity in many countries around the world, so the issue of environmental friendliness is now more relevant than ever.

See how the statistics of crypto mining consumption have grown in the countries:

Bitcoin Mining Energy Consumption

Image source – sharewise.com

Yes, with such a growth rate in the consumption of cryptocurrency, it is necessary to take measures to ensure eco-mining immediately.

So, let's see how accurate the myths about the dangers of cryptocurrency are.

👉 Myth 1: Cryptocurrency mining is harmful to the environment

Reality: An crypto expert from Prague, Daniel Frumkin, calculated how much energy is spent on cryptocurrency mining and stated that reasoning about the benefits or harms of this or that type of energy consumption is incorrect without reference to the context. For example, waste gas in the United States alone is sufficient to power the Bitcoin network.

👉 Myth 2: Renewables are harmful

Reality: According to Daniel Frumkin, many mining farms use energy from hydroelectric power plants and gas. In recent years, the cost of renewable energy has dropped significantly and is almost equal to that of coal-fired power plants. All this suggests that the environmental harm factor of bitcoin can be exaggerated.

👉 Myth 3: It is impossible to eco mining around the world

Reality: Christopher Bendixen, head of research at CoinShares, believes that mining will inevitably become green.

Crypto miners strive first of all to survive in a highly competitive environment to find the cheapest energy. It so happened that the cheapest way to extract energy on the planet is through renewable energy sources.

Christopher Bendixen, head of research at CoinShares.

Eco-friendly crypto mining has every chance of becoming a blessing for the environment and humanity as a whole.


Ecological mining methods

The goal of all mankind now is to reduce the energy consumption of cryptocurrency as quickly as possible and switch entirely to eco-mining.

At the moment, the only way to reduce the negative impact of cryptocurrency mining on the environment is to use alternative electricity, namely:

  • wind energy (wind turbines)
  • geothermal energy
  • solar energy (solar panels)
  • hydropower (hydroelectric power plants)

Now the trend of living in regions where green methods of generating electricity are available is gaining popularity. What are these regions? These are often provinces where there are rivers and enough sun for solar panels and wind power.

Many countries have already joined eco-mining. Let's see what technologies they use.


What about other countries?

I propose to take inspiration from the example of other countries and mine cryptocurrency environmentally.

Iceland

One of the most famous mining farms, Genesis Mining Enigma, has been operating in Iceland since 2013. The Crypto Farm is powered exclusively by geothermal energy.

In 2018, the country faced the risk of a shortage of electricity due to the growing number of miners. Just imagine: data centers consume more electricity than residents of the country! The low cost of electricity and the environmental friendliness are attracting more crypto miners to the country.

To solve the problem of energy consumption, the startup Moonlite Project decided to open a representative office in Iceland.

The company has developed a system of intelligent power consumption based on artificial intelligence. Moonlite plans to operate on energy from renewable hydro, wind, and geothermal sources. Sounds excellent, agree!

Canada

Canada is not lagging behind Iceland either − the country decided to use heat from ASIC miners. The Heatmine company decided to experiment and find a way to use excess heat from mining and reduce its annual cost.

Heatmine scientists have connected the equipment to a greenhouse where strawberries are grown. Oh, I love this approach to science!

As a result of the experiment, the cost of heating the greenhouse decreased by 80-100%, and the Canadian strawberries could compete with the Mexican ones. The company plans to test the possibility of heating houses using heat from mining farms in the future.

Also, in the small Canadian town of Ocean Falls, miners organized the Ocean Falls Blockchain eco-friendly center. Cryptocurrency is mined here using hydropower. Very environmentally friendly, as for me!

United Kingdom

Another excellent example of green crypto mining was shown in the United Kingdom. So, in London, miners created the EcoHashes organization. It's a project with the goal of sustainability and efficiency of mining.

EcoHashes uses renewable energy sources: wind turbines, solar panels, and hydro generators.

Japan

And, of course, I can't help but mention Japan ─ one of the leaders in the fight for environmentally friendly crypto mining!

The use of alternative energy sources is growing in the country.

Thus, Kumamoto-Energy Co Ltd produces and supplies energy derived from solar panels. In 2017, the company launched a subsidiary, OZ Mining, which mines cryptocurrency by purchasing energy from Kumamoto-Energy. It allows you to utilize surplus electricity and reduce the cost of crypto mining.

Also, the Japanese use hydroelectricity, wind power, and geothermal sources to generate electricity.

Lovely readers, I hope the examples of these countries inspired you, and you will also want to join the green community (if you are not already in it)!


Conclusion

The common goal of humanity is to keep our home − the Earth − clean and safe. In pursuit of technology and convenience, we forget to care for the environment, not thinking that Mother Nature does not forgive mistakes.

I urge all of us to be mindful and care for the environment!

Consume cryptocurrency consciously, try to use alternative mining methods to reduce your electricity consumption.

Dear cyber enthusiasts, write, have you ever thought about reducing energy consumption when mining bitcoin? Share your ideas in the comments!

Save nature!

Tags: 
Technology
Author
Darina Shramko
Cybersecurity specialist and researcher.

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