New York Times Article Claims One Bitcoin Transaction Uses 2,000 KWh of Electricity

The New York Times article, which was written by technology reporter David Yaffe-Bellany, started by saying that thanks to “criticism from politicians and environmentalists” the crypto mining industry has “embarked on a rebranding effort to challenge the prevailing view that its electricity-guzzling computers are harmful to the climate” and that “all five of the largest publicly traded crypto mining companies say they are building or already operating plants powered by renewable energy, and industry executives have started arguing that demand from crypto miners will create opportunities for wind and solar companies to open facilities of their own.”

For example, Argo Blockchain is building a 126,000-square-foot crypto mining facility in Texas that — according to the firm’s CEO Peter Wall — will be “fueled mostly by wind and solar energy.”

So far, so good.

Then, came the following section of the New York Times article, which the Bitcoin community found much harder to accept

“In Bitcoin’s early years, a crypto enthusiast could mine coins by running software on a laptop. But as digital assets have become more popular, the amount of power necessary to generate Bitcoin has soared. A single Bitcoin transaction now requires more than 2,000 kilowatt-hours of electricity, or enough energy to power the average American household for 73 days, researchers estimate”.

“To achieve that, some miners are reviving broken-down coal plants, or using low-cost natural gas to power their computers. Last month, a study in the journal Joule found that Bitcoin mining worldwide may be responsible for about 65 megatons of carbon dioxide a year, comparable to the emissions of Greece.“

Nic Carter, a general partner at Castle Island Ventures and co-founder and chairman of Coin Metrics, explains why the notion that a single Bitcoin transaction requires more than 2000 kWh of electricity is incorrect:

According to the New York Times article, MicroStrategy CEO Michael Saylor assisted in the formation of the Bitcoin Mining Council, “a voluntary and open forum of Bitcoin miners committed to the network and its core principles,” in May, shortly after Tesla CEO Elon Musk expressed his concerns about “rapidly increasing use of fossil fuels for Bitcoin mining and transactions.”

TeraWulf, a Bitcoin mining company that is a member of the Bitcoin Mining Council, has “pledged to run cryptocurrency mines using more than 90% zero-carbon energy,” according to the story. TeraWulf has “two projects in the works — a retired coal plant in upstate New York driven by hydropower, and a nuclear-powered facility in Pennsylvania,” according to the company’s website.

According to TeraWulf CEO Paul Prager, who spoke to the New York Times:

“It seems like everyone I talk to these days is talking about carbon neutrality.” The tone of the conversation has shifted dramatically.”

Join CoinCu Telegram to keep track of news: https://t.me/coincunews

Follow CoinCu Youtube Channel | Follow CoinCu Facebook page

Annie

CoinCu News