People who have a problem with how much energy it takes to mine Bitcoin should take a more long term view of the situation and realize Bitcoin´s energy requirements are a feature, not a bug. Bitcoin mining provides a powerful market incentive for energy producers worldwide to increase the production of cheap energy, which could potentially drive down global energy prices. That’s great news for everyone, but it’s especially good for the least well-off in society, as they’ll be the ones who benefit the most from cheaper energy.
Bitcoin relies on a consensus mechanism called Proof-of-Work (PoW) which requires energy to issue new tokens into existence. PoW is a complex computing process performed with specialized machines that consume a lot of energy. Thanks to this technological innovation, today we all have access to a new form of money that exists in the digital world. Therefore, Bitcoin can be seen as both an “energy currency” and a “digital currency.”Read More