Cryptocurrencies are notorious for being bad for the environment… but is there a way to do better?
A study titled “ Reexamining Bitcoin’s Carbon Footprint“showed how bitcoin could be responsible for 65.4 megatons of carbon emissions per year, roughly the same amount as the entire country of Greece.
China’s crackdown on bitcoin mining did not have the intended effect on these numbers, mainly because it was later found that mining in China never stopped. In other words, no restriction will make the difference. Bitcoin was created to resist regulation and censorship. So, even if a country prohibits mining, it will not prevent individuals from building mining facilities in their homes.
High energy consumption
The high power consumption of the mining process is not a defect, it is a feature. Bitcoin mining is the process of validating token transactions without the intervention of third parties. This validation process consumes large amounts of energy, using the computing power of thousands of mining machines.
This whole process was once possible with home computers, but mining hardware has evolved since the early 2000s, giving rise to application-specific integrated circuits, chips designed solely for Bitcoin mining. These machines run constantly, resulting in high consumption, close to the energy used by countries such as the Netherlands or Chile.
Miners buy the electricity they use, most often produced from fossil fuels. Burning these fuels emits greenhouse gases that warm the Earth’s climate and cause pollution that harms human health.
The problem does not end there. Competition between miners increases energy consumption, and the higher the value of bitcoin climbs, the more this competition intensifies.
In May 2021, computers in the network of bitcoin miners performed 180 quintillion guesses per second, and each BTC token sold for $36,000 that month before climbing to $57,000 in December 2021. With such incentives, it’s no wonder miners are constantly striving to mine more cryptocurrencies.
Energy use – in numbers
According to the University of Cambridge’s Electricity Consumption Index, by June 2022, the global Bitcoin network will have needed 14.34 gigawatts to produce electricity, which is enough to power nearly 14 .4 million American households. This represents approximately 126 terawatt hours (TWh). If we take an average of 10.6 cents per kWh, that’s about $13.4 billion. In addition, energy consumption for mining reached an all-time high at the end of 2021, exceeding 200 terawatt hours.
All this does not even take into account the environmental damage caused by these activities. At this point, 284 million trees would need to be planted to offset the effects of bitcoin mining!
A negative impression
Blockchain technology and cryptocurrencies offer new opportunities for all sectors, from finance and banking to media, healthcare, entertainment and e-commerce. But sadly, these troubling statistics distract from their benefits and shine a spotlight on their environmental harm, and rightly so.
As a result, much of the public is hesitant to embrace Web 3.0 and its components.
With the bad press cryptocurrencies get, good projects that make a real effort to sustainably exploit mining resources are drowned out before they have a chance. Several innovative projects such as Cardano (created by the co-founder of Ethereum), whose Proof-of-Stake model eliminates mining, and Ripple, which will be carbon neutral by 2030, are emerging in response to the effects of mining. bitcoins.
Among these projects is Megatech (MGT), a South African company that provides sustainability through blockchain technology.
A new perspective
Megatech is the world’s answer to the energy problem, implementing the ultimate green sustainable energy technology.
There is a high demand for green electricity supply all over the world, especially in Africa. MGT combines state-of-the-art solar power technology, revolutionary storage technology, and a dynamic financing model to ensure high profits and short turnaround times.
All token holders benefit from financial returns on solar power plants owned by Megatech. The first plant, Project Beta, is a 60MW solar farm that will include 100MWh technology with the ability for users to sell renewable green power at peak rates to blue chip listed entities that have already signed on. with Megatech.
In addition, 40% of all financial gains from this project and all future projects in progress will vest in MGT Solar (PTY) LTD. which is independently managed by trustees on behalf of token holders who participate in the performance staking program.
Megatech is also in partnership with various companies in the renewable energy sector and has contracted one of the leading EPC technical teams in Africa to carry out their vision. Their initiative is 100% ESKOM (National Energy Commission) compliant.
A better future
Climate change is no longer a problem of the future, it is here. Yet it is not too late to address these concerns and move towards sustainable energy while maintaining our way of life and bringing the unlimited opportunities and benefits of blockchain technology and mining to individuals. and businesses around the world.
Megatech’s vision to become the number one in blockchain technology comes only after its passion for sustainability and improvement. If, in the process of solving one of the biggest problems plaguing our planet, they can allow users to earn crypto, that’s just icing on the cake.