How Bad Is Bitcoin Mining For The Environment

It was back in 2009 when Satoshi Nakamoto launched Bitcoin. Fast forward to 2022, and this coin is the absolute god of cryptocurrencies. But, it’s far from perfect.

If there is one thing that Bitcoin naysayers have been vocal about in recent years, it’s the network’s environmental impact. It is undeniable that the BTC network is very power-hungry and requires massive computational power to operate. Still, we can’t just take someone at their word without looking at data.

On that note, let’s explore the world of Bitcoin mining and see just what kind of impact BTC has on the environment.

Is Mining Actually Bad For The Environment?

As you probably know, the entire Bitcoin network is supported by the worldwide network of specially designed machines powered by electricity. These machines are called mining rigs.

Mining rigs serve a single purpose – solving complex mathematical equations to approve a Bitcoin transaction on the blockchain. In return, you’d get a small fraction of a Bitcoin per single transaction. That process is called mining, hence the name – mining rig.

Seeing how there are thousands and thousands of mining rigs operating day and night all over the world, the question we have to ask is not is mining actually bad for the environment, but rather how bad is it?

Is it catastrophic or is it manageable, or is it something in between?

Well, to answer that question, we have to take a deeper dive into understanding every impact and effect mining has on the environment and try and put that into perspective so that we know exactly what we’re dealing with.

The reason why mining is so popular is that you’re rewarded with a fraction of a Bitcoin for every successfully approved transaction on the blockchain. Additionally, unlike some other cryptocurrencies, Bitcoin is limited in its supply, and there are only 21,000,000 of them, with the last one set to be mined in the year 2100.

Coin scarcity is one of the things that make BTC very valuable. As of this moment, a single coin is valued at over $40,000. To be fair, the value of BTC varies quite a lot, and only a few months ago, on November 10th 2022, a single coin was worth over $68,000.

Now, the value of Bitcoin isn’t influenced by the mining community, but it sure does make mining appealing. Some people also trade Bitcoin, as that can be lucrative, too, and you can learn more about it if you visit this site, but for now, let’s focus on mining.

With the value of a single coin being as high as it is, miners often invest thousands upon thousands of dollars into their mining rigs, resulting in a steady and quite hefty revenue stream.

Leave a Reply

Your email address will not be published.