maybe the Bitcoin is in crisis (from which it is beginning to come out), but contaminates and consume further electricity never. And the figures have reached a point where they are beginning to worry.
According to a comprehensive investigation carried out by The New York Timeswhich comes to us via The Vergethe mining of Bitcoin, only in the United States, consumes electricity equivalent to a city of 8 million peopleand contaminates the equivalent to 3.5 million cars.
In addition, another “side effect” is revealed that had not been taken into account until now. In areas where there are cryptocurrency farms, raise the price of electricity.
The great energy cost of Bitcoin
maybe the Bitcoin It has been in crisis for a year, but cryptocurrency mining has not stopped working. In the last month the price of Bitcoin has risen by 40%so it seems that the lean days are over.
The New York newspaper has investigated the consumption and the origin of the electricity of 34 US Crypto Farms that exceed 40MW of energy consumption. Each of them carries out a consumption equivalent to that of 30,000 homes.
The Rockdale, Texas, cryptocurrency farm, the largest in the country, has a consumption equivalent to that of 300,000 homes. In total, they consume “like new york city“, what’s wrong with it 8 million inhabitants.
Some of these farms use renewable energy, but most continue to be powered by fossil fuels. It is no coincidence that many of them are installed in Texas and North Dakota. There is a lot of cheap oil and coal there, which is used to produce electricity.
The coal and gas power plants cover roughly 85% of the demand that bitcoin mining adds to power grids, according to an analysis by the independent organization Watttime.
The pollution caused by this bitcoin consumption is equivalent to that of 3.5 million gasoline cars.
And these figures are only for the United States. Cryptocurrencies are mined in many other countries.
Another interesting fact that until now had not been taken into account is that the price of electricity rises in areas where there are cryptocurrency farms, because when there is more demand, the electricity auction prices are higher.
In Texaswhere are they 30% of crypto farmsthe light has risen at least 5% in their zones. what it means 1.8 billion dollars a year that citizens pay for cryptocurrencies, which do not benefit them.
Ironically, as The Verge explains, while a citizen pays an average of 13 cents per KWh, cryptocurrency farms only pay 3 cents. The reason is that the state of Texas pays companies not to use electricity when there is high demand, for example during cold or heat waves. Closing on those waves, 5 crypto farms received $60 million from the state in 2020.
That is the reality of Bitcoin: high consumption, high pollution, and rise in the price of lightfor a few to speculate and benefit.
