Bitcoin has its doubters and detractors, and one of the main pushbacks on this cryptocurrency is due to environmental concerns. Despite all the noise around how the energy inefficiency of it, sustainable Bitcoin mining is possible.
Why is Bitcoin Mining Energy Intensive?
When it comes to cryptocurrency mining, there are two main methods that are used in order to verify and add new transactions to the blockchain – Proof of Work (PoW) and Proof of Stake (PoS).
Proof of work (PoW) involves using specialised hardware to solve complex mathematical problems in order to verify new transactions. Proof of stake (PoS) is a newer method of mining that does not require any specialised hardware.
In most cases PoW is the mining method used when there is a limited supply of coins (such as with Bitcoin). A fair amount of energy is required to run the ASIC (application-specific integrated circuit) computing systems needed to verify the transactions, which is reason energy consumption with Bitcoin mining can be large.
Our Road to Net Zero
Mawson is determined to change the conversation around energy use when it comes to digital mining. We believe that sustainable Bitcoin mining is possible, and we are constantly working towards making this a reality for our operations.
In 2020 we offset over 22,000 tons of carbon using carbon offsets to become 100% Net-Zero for the year.
In 2021 we planted over 25,000 trees, and by the end of 2022 a further 53,000 trees will be planted in Georgia and Pennsylvania. This is one new tree planted every time a block is created on the Bitcoin Blockchain.
Non-Carbon Emitting Energy Use
Our operations currently use over 75% non-carbon emitting energy (nuclear, hydro, wind) and our goal is to continually reassess this and improve this mix over time as we expand our business globally.
Recently, Mawson also became a 33% shareholder in Tasmania Data Infrastructure Pty Ltd (“TDI”), who are developing a large-scale, 100% renewable energy Bitcoin Mining facility at the Que River Mine Site in Tasmania, Australia. Once fully operational there is possibility to expand the site to offer 100 megawatts of energy available that will be 100% renewable.
Sustainable Bitcoin Mining is Possible
Ignore the noise around how Bitcoin mining is destroying the planet. These examples demonstrate that “cleaner” Bitcoin mining is possible and that Mawson is totally focused on sustainable Bitcoin mining.
Interested in learning more about Bitcoin and digital assets? Visit the Mawson archive.