Bitcoin is famous for its huge energy footprint. Now, researcher Alex de Vries from PricewaterhouseCoopers (PwC) in the Netherlands says that renewable hydropower production cannot provide the large amount of energy needed to produce bitcoin mining machines . In a review article published in Joule magazine on March 14, he also highlighted the large amount of e-waste generated by the Bitcoin network and called for other strategies to curb the impact of this cryptocurrency on the environment. PwC senior consultant, blockchain expert and Digiconomist founder de Vries found that Bitcoin consumes more than 1,200 times the energy of traditional banking transactions. He also estimated that the power consumed by Bitcoin in 2018 is equivalent to the entire Hungary. De Vries said that Bitcoin proponents believe that even if Bitcoin uses a lot of energy, it is not that harmful because they claim that most of the Bitcoin mining facilities use excess renewable energy. So, I decided to delve into this statement. The main problem is the bitcoin mining mechanism. Miners use high-performance technology to search for effective digital signatures. These digital signatures allow bitcoin blocks (files that record bitcoin transactions) to join the growing list of bitcoin transaction record blockchains. In return for their efforts, miners have a certain chance (but not always) to get Bitcoin. De Vries uses public information about the computing power of the Bitcoin network, the efficiency of mining machines, and the composition of materials to point out the main problems of relying on renewable energy. Once the Bitcoin machine is activated, it will not be shut down unless it cannot continue to make money. However, although the growth in electricity demand remains the same, the hydropower generation used to generate electricity is fluctuating. Bitcoin supporters say that China's Sichuan province has three times the amount of hydroelectric power during the rainy season compared to the dry season. Climate change is only expected to exacerbate these fluctuations, and coal-based energy is often used to offset these fluctuations. Based on these findings, De Vries said that renewable energy currently entering the field of Bitcoin mining cannot be considered completely green, and the challenge of combining constant energy demand with variable renewable production will always exist. It may even promote the construction of coal-fired power plants to meet higher basic needs. But De Vries also pointed out that even if bitcoin mining equipment can only use renewable energy, they will still be discarded as e-waste at the end of their useful lives. The most popular machine on the market is an application-specific integrated circuit (ASIC) miner, which cannot be reused because its hardware is used exclusively to mine Bitcoin. This means that it is likely to enter the landfill or incinerator together with other discarded electronic products, causing damage to the environment. Overall, research shows that the current electronic waste generated by Bitcoin is equivalent to the waste output of a small country like Luxembourg. Although Bitcoin still accounts for only a small portion of all currency transactions, De Vries believes there is reason to be worried. He said that bitcoin's energy consumption and e-waste generation cannot be ignored at present. If bitcoin is widely used, they are likely to quickly upgrade to more extreme levels. However, De Vries believes that these concerns about sustainability can be avoided by replacing the mechanism used to mine Bitcoin. Cryptocurrency Dash and NXT already use another verification mechanism (Ethereum will soon use this mechanism, which is transitioning from a bitcoin-like mining mechanism), which does not rely on the computing power of building a blockchain. This adjustment will significantly reduce Bitcoin's energy consumption by as much as 99.99% and eliminate the need for dedicated, non-recyclable hardware. De Vries said that Bitcoin is ultimately just a software. The mining mechanism can be replaced. The challenge is that the entire network needs to recognize this change. (Originally from: Daily Science China New Energy Network Synthesis) Alloy Shackle,Anchor Shackle,Marine Shackle, Hot Dip Galvanized Shackle Shandong Shenli Rigging Co.,LTD. , https://www.shenliriggingcn.com
Bitcoin miners usually use cheap hydropower