According to recent figures, the ecological effect of BTC and digital currency mining may not be as terrible as previously thought.
According to new statistics from the England’s prestigious University of Cambridge, the terrain of BTC mining has shifted dramatically in the previous six months as a result of China’s huge crackdown on miners.
CNBC has already been compiling industry specialists’ perspectives on the big miner movement, and that has changed the sector’s environmental effect. They had agreed that cryptocurrency mining is currently more ecologically friendly now than it was before China ruled worldwide hash power.
According to the study, as much as 50% of the earth’s BTC miners went quiet in a short period of time. This was proven by a 65 percent drop in hash power from May and June.
Mining BTC in a more environmentally friendly manner
Because of China’s strict attitude, miners have been compelled to migrate, and a majority of miners have opted for better regions for mining, like Texas, with relatively low costing renewable sources of power. Mike, Chief Executive Officer of cryptocurrency startup Foundry, agreed that this was a huge benefit for BTC.
Miners all over the globe are seeking untapped renewable electricity. That has always been the cheapest option. Overall, this will represent a significant reduction in Bitcoin’s carbon impact.
According to Cambridge, over 17 percent of all Bitcoin mining is currently done in N.A, and almost half of that is done with sustainable power. According to figures revealed in April, China’s formerly 65 percent+ portions of the said hash pie has shrunk to 46 percent and has plummeted even further ever since.
The Chinese migration even had an impact on the number of outdated and far less power-efficient mining components, which has since been permanently closed down. As per Luxor Mining’s Alex, it pulled off, perhaps indefinitely, a substantial number of its most environmentally damaging rigs. As the use of carbon fuels is phased out, sustainable power sources like hydroelectric, nuclear, wind, gas, and solar energy are being pursued.
In a similar study, Viridi introduced the very first environmentally friendly mining ETF on the NY Exchange. With an emphasis on ESG problems, the asset attempts to lure popular and organizational investors.
Bitcoin Price Predictions
As per CoinGecko, BTC has reclaimed its psychological support zone of $30,000 and had been trading at 3.2 percent that day at $30.7k at the time of publication. The largest global digital asset has dropped 10 percent in the previous week and currently sits down 52 percent from its record high reached in mid of April.