Record-Breaking Achievement: Bitcoin Mining Hits 54.5% Sustainable Energy Usage, Significantly Reducing Emissions

Bitcoin's Sustainable Energy Usage Surges to All-Time High

The Bitcoin ESG Forecast reports a new milestone for Bitcoin mining, with sustainable energy usage hitting an all-time high of 54.5%. The data, analyzed using the BEEST model, indicates a 3.6% overall increase in sustainable mining for the calendar year 2023. Bitcoin mining now leads subsectors in the utilization of sustainable energy.

Chart showing Bitcoin mining sustainability       Source: Woobull

Comparison with Global Industries

Over the past four years, The Bitcoin ESG Forecast compared Bitcoin's sustainable energy mix with other industries using publicly available data. The findings highlight Bitcoin mining as the highest user of sustainable energy among subsectors, demonstrating a positive trend in sustainability.

Off-Grid Bitcoin Mining and Methane Mitigation

The research identifies off-grid Bitcoin miners utilizing methane emissions. Small oil producers in Canada and the U.S. pay for permits to flare natgas, with some venting methane directly. However, certain mining companies use vented methane to generate electricity for Bitcoin mining, contributing to a 7.3% mitigation of emissions without offsets. This marks a new all-time high and the highest level of non-offset-based emission mitigation across industries.

Tether's Hydro Mining and Global Trends

Off-grid renewable mining, such as Tether's expansion into hydro mining in Latin America, has played a role in boosting Bitcoin's use of sustainable energy. Following the mining ban in China and restrictions in Kazakhstan, miners shifted to greener grids in North America and sustainable off-grid sites. The global trend toward greener grids, growing at 0.7% annually, results in a 29% improvement in emission intensity for on-grid Bitcoin miners compared to 2021.

In summary, Bitcoin mining achieves a historic 54.5% sustainable energy usage, surpassing other industries in the adoption of environmentally friendly practices, with additional off-grid initiatives contributing to the positive trend.