Cryptocurrencies showed us how technology can improve the world ━ by establishing high transaction security levels and employing decentralization. With Bitcoin, the first immutable digital asset, anyone can send money worldwide fast and cheaply due to the lack of intermediaries. Hence, it can help people without access to banking solutions improve their financial stability.
However, Bitcoin’s benefits and functionality are not without flaws. Sustainability concerns have arisen, partly due to the proof-of-work consensus mechanism. While tools like the Bitcoin price chart provide valuable insights into its trends, this technology has been criticized for its environmental impact. Mining Bitcoin demands substantial energy and computational power, making it challenging for miners to sustain consistent revenue, especially after the fourth halving. 
Therefore, developers and miners are seeking greener alternatives to mining Bitcoin that are less energy—and hardware-intensive. Is this possible?
How damaging is Bitcoin mining for the environment?
According to the Advancing Earth and Space Sciences, Bitcoin mining generated more than 85.89 metric tons of CO2 in a year, triggering major water and land footprints. Countries like China, the USA, and Russia are top contributors, but many miners choose to base their activities in a different place than their country of origin due to electricity price considerations.
Unfortunately, experts believe the trend will continue along with Bitcoin’s popularity. Considering that the current amount of energy necessary to mine Bitcoin worldwide is equivalent to that of a country like Greece, a new approach is needed. Moreover, most of the electricity used in Bitcoin mining is coal-based, which is why renewable resources are the best alternative now.
Going green as a Bitcoin miner
Unfortunately, gas and coal are frequently used for Bitcoin mining. Still, miners leverage the wind, sun, and water to power up their computations as the trend changes. Ideally, we can replace the limited sources with the following:
- Solar energy from photovoltaic cells and solar panels;
- Wind energy from wind turbines;
- Hydropower with the help of tidal movements;
- Biomass energy resulted from plants and organic waste;
- Geothermal energy from the heat beneath the planet’s surface;
Some also consider nuclear power doable since it doesn’t emit greenhouse gases. Still, the controversial part about nuclear grids is the finite fuel for reactors. Components like uranium require conventional mining, although there are a few other possible methods.
A sustainable Bitcoin isn’t all about the environment
Although we should realize that Bitcoin mining is considerably damaging to nature, this aspect also affects investors and miners. For example, current mining hardware is significantly expensive and difficult to maintain in the long term, implying a massive investment that isn’t certain to bring consistent income.
At the same time, turning mining into a green practice would help actors adhere to compliance and social responsibility, given that most governments are stricter now regarding carbon emissions and renewable energy usage. Thus, choosing a sustainable approach to mining could speed up Bitcoin adoption worldwide.
Are there any sustainable cryptocurrencies out there?
While Bitcoin is the oldest and best crypto asset, it has yet to learn about green practices. Few green cryptocurrencies recently emerged to make mining sustainable. Chia, for example, leverages a unique consensus, PoST, or Proof of Space Time, that uses miners’ hard drives and storage for mining, known as farming in the Chia ecosystem. The network is all about eco-friendliness, which is achieved by managing power consumption, adopting a circular economy model, and taking advantage of storage capacity.
Another notable example is Cardano, a powerful blockchain based on peer-to-peer research that aims to be the force of positive changes in the crypto industry. The consensus used, Proof of Stake and Ouroboros, work together to employ decentralization, scalability, and fairness.
Bitcoin’s potential to solve climate change
If adequately employed, Bitcoin could be very helpful in combating climate change. Some believe that it could help ESG (environmental, social, and governance) flourish by stabilizing power grids or capturing methane.
Despite controversial statistics on climate change contribution, collaborating research between Cambridge University and Bloomberg Intelligence reveals that Bitcoin could potentially be a part of an ESG framework, having the following benefits:
- Establishing new opportunities for the renewable energy market;
- Creating a balance between power providers’ supply and demand;
- Capturing methane and using it for Bitcoin mining;
On the other hand, some believe that Bitcoin could pay off its energy faster than solar infrastructure did, which, considering the bigger picture, would be beneficial for the environment.
Digital payments are more environmentally friendly than cash
Cryptocurrencies are the future, where transactions are fast, cheap, and internationally doable. Technological advancements greatly help the financial sector by making it more secure, reliable, and valuable for those without access to banking services.
Currently, cryptocurrencies seem to be slowly replacing any other currency in terms of eco-friendliness. Manufacturing new banknotes or transporting them between towns and cities consumes a lot of electricity and fuel, which is not the case with crypto.
At the same time, cryptocurrencies offer financial inclusion since everyone can use them with only a smartphone. In Africa, a creative startup allowed people to buy or sell Bitcoin with only a regular telephone and a SIM card, allowing them to add income to their lives. 
Finally, cryptocurrencies on the blockchain provide enhanced security, solving current problems with traditional financing. With some luck, the use of additional assets like NFTs, DAOs, and dApps will become mainstream, ensuring a complete offer for future users. Until these technologies are approachable by the average person, cryptocurrencies must solve their issues with scalability and lack of regulation.
What do you think about Bitcoin’s sustainability potential?
Bitcoin is one of the most renowned cryptocurrencies on the market. Despite its benefits, mining the coins is considerably damaging to the environment since coal and gas are the main energy sources for its operation. So, renewable sources like solar and wind are needed to power Bitcoin mining to make it eco-friendly and spare miners the need for expensive hardware.
