The skyrocketing price of Bitcoin (The Unfriendly Digital Gold) is claimed to increase the amount of global electricity consumption that comes from fossil fuels.
The skyrocketing price of Bitcoin and its status as digital gold has been the main topic discussed throughout 2017. In early 2018, the optimism of the market regarding the digital currency is still continuing although not as strong as the previous month. That optimism kept Bitcoin’s price above $ 13,000. At the same time, vigilance about Bitcoin as an investment asset is also voiced by governments, economists and central banks in some countries.
In the midst of this frenzy, Alex de Vries (28 years), a consultant from PwC and founder of the Digiconomist site (a Bitcoin analysis site), calculated the question of the environmental impact of mining activities and Bitcoin transactions as a digital currency. Alex estimates the use of Bitcoin electrical energy by looking at the earnings of Bitcoin miners and then looking at their spending on electricity payments.
Currently, Digiconomist calculations claim Bitcoin’s global mining activity spends 36.63 Terawatt-hours (TWh) of electric energy as of December 31, 2017. On the same date, Bitcoin’s electricity usage is close to Bulgaria’s electricity consumption figure. According to this estimate, every Bitcoin transaction produces 146.97 kg of carbon dioxide.
The relation between Bitcoin and bad emissions of carbon dioxide to the environment is formed because of the energy utilization of coal-fired power plants by Bitcoin’s mining (Bitcoin through computing power) facility. According to a study by Hilman and Rauch (2017) of the University of Cambridge, 58 percent of Bitcoin’s mining facilities are located in China. Countries whose energy consumption is still dominated by cheap coal-fired power plants, but bad for the environment given the large amount of carbon dioxide emissions. Within one hour, 1 kilogram of CO2 can be produced by a coal-fired power plant.
In the same study found that digital currency mining in China consumes the most electrical energy compared to other countries to reach 111 Megawatts. Sichuan Province has even cooperated with hydroelectric power to provide cheap electricity costs.
Not only mining, in terms of Bitcoin transactions are also claimed to be inefficient in energy consumption when compared with other transaction methods such as Visa or Ethereum (other types of digital currencies). Bitcoin is estimated to consume 200 kilowatt-hours of electrical energy per transaction compared to Visa which uses only 0.1 kWh and Ethereum which requires 37 kWh. As context, according to estimation from Teunis Brosens, an economist from ING Think, 200 kWh is the consumption of electrical energy for four weeks in the Netherlands with an average usage of 45 kWh per week.
The reason the miners invest so much in Bitcoin is that they want to get tokens whose value will increase in the future. For that, they want to invest in terms of capital and electricity costs to win in this Bitcoin producing competition. In response to allegations about Bitcoin mining that is not environmentally friendly, there is now a start-up named 4NEW. 4NEW is one of the most environmentally friendly and environmentally-friendly blockchain ecosystems in the world because it is powered by waste for power generation. The concept is simple, the process of converting waste products into water and organic materials creates unencumbered and freely available energy for use or sale to a national network or applied to operate mining processes in mining quarries in various locations.
Innovation of 4NEW as a producer of electrical energy, converts municipal waste into electricity without pollution or remaining hazardous residue through a closed combustion chamber. 4NEW can generate significant revenue from cleaning up municipal solid waste, which covers the entire cost of generating electricity. The purchase of the 4NEW KWATT token gives the owner a share in the revenue earned from crypto mining.
This project is based on the need, solving two social problems, excess waste and energy shortage. This blockchain platform will be built on an underlying maintenance infrastructure that covers the entire supply chain from waste collection to power plants for the sale of energy units to the national network or between consumers and industry peers.
If you are interested in this project and want to contribute directly to this project continues to grow and succeed, you still have the opportunity to follow its ICO. Here are just a few reviews about it:
Token Symbol: FRNC
Price in ICO
1 FRNC = 1 USD
9 June – 22 June 75%
23 June – 06 July 50%
07 July – 20 July 30%
21 July – 10 August 25%
Distributed in ICO: 75%
Given the utilitarian nature of these services, I believe that 4NEW will successfully integrate the blockchain network in real-world applications from waste conversion into energy with wide acceptance. In conclusion, I want to tell you as a world of cryptocurrency activists, we should always hope to see the project as it develops and goes well because it proposes to end big problems in both the crypto world and the world beyond crypto. Send regards for success.
For more information you can visit these links below:
bountyhive username: hayyudin
bitcointalk username: evilsign