Bitcoin Mining Is Ireland really Consuming Energy?

Some of the criticisms directed at Bitcoin also focus on mining. The mainstream media, voicing the fact that crypto-money mining consumes a lot of energy, says that the energy used in the mining of Bitcoin is often more than it is used by a small country alone.

Son Salvo From The Economist

In an article published in The Economist one of the prestigious products of the mainstream media as a title "Why Bitcoin consumes as much energy as the phrase is preferred.

Bitcoin expert of the PwC who asked his opinion in the article Alex de Vries, The amount of annual energy required for bitcoin mining is almost is 22TWh per year, indicating that is equivalent to the total energy consumed by Ireland in a year . The Economist writes, "Why does Bitcoin consume so much energy for something that only exists in electronic form?" .

This time, how Bitcoin submissions are stored in books, how miners' Let's go through the subtleties of the system and get into direct conversation.

Bitcoin mining spends energy from Ireland to 'up to a Malt'

The Economist seems to have been bad at two points in this article. The first is Ireland's energy consumption. When we look at the rate in CIA World, it seems that the current year has 25TWh electricity use. However, Ireland is one of the countries with the highest increases in the European Union countries.

There is a difference of 3TWh between the writings of the Economist and the truth. This difference corresponds to the annual energy consumption of Malta, from wherever you look.

 Mainstream Media Claims Bitcoin Burns More Energy Than Ireland â € "Does It?

Ireland energy consumption chart

And you have a financial dimension. The amount currently earned for each block dug in Bitcoin 12.5 BTC. The time required to excavate a submission block is approximately 10 minutes and the daily average 1800 BTC is mined in mining. This means that the daily Bitcoin network will generate $ 11 million of volume when compared to current prices.

This award recognizes both miners' electricity and cooling costs as well as salaries, etc. as well as other expense items. So if you look at the expense items in a Bitcoin mining operation, the electricity consumption already accounts for 50% of the work, not the whole. If we think that the electricity cost is half the profit, the cost of this electricity cost in Bitcoin mining $ 5-6 million .

In Ireland, however, there is a much more serious cost to consider. According to Eurostat, the Irish are paying $ 19 million a day for electricity

Obviously, given the current situation of the markets, it is clear that mining is no longer as profitable as the old one. In different countries, mining costs vary according to electricity prices and climate conditions. For example, according to the latest research done by Bitmain's Antminer S9 device, can save 0.0008 BTC a day when 1.5 kWh of energy is spent. This means that for a single bitcoin 45 MWh of energy is needed.

If this same figure works in Italy, the cost is 6 thousand 500 euros while this figure is 3000 euros with electricity price in the Czech Republic (0.07 dollars per kWh)