• According to a new study, Bitcoin’s carbon footprint has been exacerbated by China’s ban

  • The issue of carbon emissions related with Bitcoin mining is one of the most heavily debated topics in the crypto community.

    Previously, the majority of Bitcoin miners were focused in China. Mining activities flourished in the country for several years, despite the fact that the government had banned all crypto-related activity like as trading as early as 2017.

    However, all changed last year when the government imposed yet another blanket ban on the industry, forcing several crypto exchanges and mining operations to close their doors and relocate.

    The country’s State Council decided to crack down on the business in response to President Xi Jinping’s goal to achieve carbon neutrality within the next four decades.

    However, new research on cryptocurrency mining published in the Joule magazine has showed that this moratorium does not reduce the carbon emissions related with this operation.

    According to the academics who worked on the study, China’s crackdown on the Bitcoin mining business has boosted the asset’s carbon emissions because miners left behind access to eco-friendly hydropower while fleeing the nation.

    The inference is that they are increasingly reliant on fossil-fuel-generated energy.

    According to the survey, the quantity of renewable energy used to power mining activities has decreased from about 42 percent to around 25 percent since last August.

    According to the report, Bitcoin emits more than 65 megatons of CO2 every year. This level of emissions exceeds that of Greece, which recorded roughly 57 megatons in 2019.

    Alex de Vries, one of the study’s authors, explained that the movement of mining businesses to nations such as the United States and Kazakhstan has limited the usage of renewable energy sources.

    In Kazakhstan, for example, miners rely mostly on energy supplied by power plants that burn “hard coal,” which emits more pollution than the miners would have used if they still had access to their wet farms in China.

    Since it is, Bitcoin mining is now less environmentally benign, as its carbon intensity has increased by 17%.

    This analysis contradicts several other pro-crypto reports on the current situation of Bitcoin mining. According to a Bitcoin Mining Council report, the industry mines the digital commodity with over 58 percent sustainable energy.

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