Nearly 60% of the electricity used to power Bitcoin (BTC) miners comes from sustainable sources, according to a recent Q2 2022 report from the Bitcoin Mining Council (BMC).
In its second quarter review of the Bitcoin network released Tuesday, BMC found that the global bitcoin mining industry’s use of sustainable energy rose 6% from the second quarter of 2021 and 2% from the first quarter of 2022, and reached 59.5% in the last quarter — adding that It is “one of the most sustainable industries globally”.
The council noted that the increase in the sustainable energy mix for miners has also coincided with an increase in mining efficiency.
Bitcoin mining hash rate up 137% year-over-year in the second quarter, while energy use is up only 63%, showing an efficiency increase of 46%
More details about the energy efficiency of bitcoin mining were shared in the BMC YouTube feed of its full report on Tuesday with MicroStrategy CEO Michael Saylor. Compared to eight years ago, Saylor said the energy efficiency of miners has grown 5,814%.
It also found that bitcoin mining accounts for only 0.09% of the 34.8 billion metric tons of carbon emissions estimated to be produced globally and consumes only 0.15% of the global energy supply.
In the briefing, Saylor noted that Bitcoin critics’ predictions about network power usage have so far been inaccurate:
“People have been predicting that Bitcoin will consume all the energy in the world for a long time. This is not happening and will not happen because of the efficiency dynamics.”
Related: Marathon sets new arrangements to achieve 2023 hash rate target
During the same briefing, Fred Thiel, CEO of Marathon Digital Holdings, stated that mining efficiency is part of a “virtuous cycle” that will see the industry become “more and more energy efficient:”
100% efficiency gains focus on energy consumption because energy is our main input cost. With energy prices rising, it forces us to become more efficient.”
The report outlines how the rising price of bitcoin has increased network energy efficiency, as evidenced by the sharp increase in efficiency over the past eight years.
As prices rise, the demand for ASIC mining hardware increases, fueling hardware innovation. More efficient devices are more cost-effective and profitable, forcing less profitable devices out of the market, making the entire industry more efficient.
The data from the report was sourced from BMC members, who make up 50.5% of the world’s bitcoin mining hash power.
US lawmakers have been particularly concerned about the state of bitcoin mining energy consumption in the country.
Last week, six US lawmakers, including Senator Elizabeth Warren, sent a letter to the Environmental Protection Agency (EPA) and the Department of Energy (DOE), asking the agencies to require mining companies to report their emissions and energy use.