When more attractive bitcoin is to investors, more damage it does to the environment

Bitcoin Attractive To Investors

The cryptocurrency train is advancing at maximum power and more and more investors are joining a trend that is highly questioned due to its environmental impact. Bitcoin mining, solving the mathematical problem that appears when generating new transactions on the blockchain, requires an enormous amount of energy to develop. How much exactly? According to the new study by The New York Times, this industry consumes around 91 terawatt-hours of electricity per year, an amount greater than that used by Finland, or what is the same, almost 0.5% of all consumption of world electricity.

Bitcoin for Investors

Bitcoin mining requires a lot of money and gigantic data centers with enough cooling power to prevent specialized machines and servers from overheating. As a matter of fact, while at first the small number of followers of bitcoin could mine cryptocurrencies from a simple computer, now there are so many that it takes approximately “13 years of domestic electricity” to mine just one.

Currently, this industry consumes the same amount of energy as Washington state each year and is more than seven times the electricity used by Google in all of its global operations. However, given that the price of bitcoin has increased by almost fivefold in recent years, it is more than likely that it will continue to grow and, with it, energy consumption.

Cryptocurrencies vs ESG criteria

In a society that is increasingly aware of sustainability, there are many who, such as Bill Gates or Janet Yellen, have stood up to warn of the impact of bitcoin on the environment and its current incompatibility with ESG criteria (environmental, social and social criteria). governance).