UN Report Overview

A recent United Nations study unleashes a torrent of insights into the world of Bitcoin mining, claiming a firm link between Bitcoin’s price surge and the energy gobbled up by mining operations.

Substantial Energy Consumption

The evaluation scrutinized 76 Bitcoin mining nations from 2020 to 2021, revealing a staggering consumption of 173.42 terawatt-hours of electricity. During this period, Bitcoin fans experienced an adrenaline rush as its price shot up to an all-time high of $69,000. Talk about a bull market!

Price and Energy Correlation

The report pointed out that the Bitcoin price ballooned by 400% from 2021 to 2022, and in tandem, energy consumption soared by 140% across the global mining network. Mind-blowing, right?

Energy Sources: A Mixed Bag

Fossil fuels were responsible for 67% of the electricity powering Bitcoin mining, which doesn’t quite sound like the green revolution we had hoped for. But wait, there’s more! Hydropower stepped in with over 16%, while nuclear, solar, and wind claimed 9%, 2%, and 5%, respectively. It’s like a buffet of energy sources!

Controversy in the Crypto Community

However, not everyone basked in the glow of the UN’s findings. Some crypto aficionados pointed out that the authors leaned too heavily on the Mora et al. 2018 paper, known for its inflated estimates of carbon emissions due to unprofitable mining operations being factored in.

“We see a tendency one direction or the other, but we can’t ignore what’s really in front of us.” — Margot Paez

Critiques from the Experts

Critics like Nic Carter took aim at the UN’s