Amid ongoing criticism of the significant energy consumption and carbon footprint of Bitcoin miners, mining companies are increasingly using nuclear power.
According to the University of Cambridge, Bitcoin miners consume just under 100 TWh per year – more than some countries. Last year, at the peak of production, the network consumed up to 141 TW / h. How much of this energy consumption leaves a carbon footprint depends on how much non-renewable energy miners are using.
According to the study, only 39% of Bitcoin miners use renewable sources to mine BTC. In May, North American miners formed the Bitcoin Mining Council to promote sustainable energy use and industry transparency. However, this initiative drew criticism from community members – many felt that it was contrary to the spirit of decentralization of the network.
Some mining firms want to kill two birds with one stone: reduce their carbon footprint and find cheaper energy sources. One option is nuclear power. BTC mining company Compass Mining has partnered with startup Oklo. The startup is building so-called “micro-reactors” to bypass logistical and other obstacles to starting a full-scale nuclear reactor.
Microreactor Oklo
US energy company Talen Energy has announced a similar partnership with mining firm TeraWulf Inc. Talen is building a nuclear-powered Nautilus Cryptomine mining complex in Pennsylvania. According to Talen President Alex Hernandez, the mining center will mine carbon-free coins and operate in accordance with local regulations.
“We are creating demand next to a working nuclear power plant,” Hernandez said. “BTC mining provides the energy provider with a new stream of revenue in addition to servicing the power systems.”
Perhaps other large miners will try to follow the example of companies that have already entered into agreements with nuclear power plants. As a reminder, Bloomberg researchers recently expressed concern about the continued growth in energy consumption of bitcoin miners.
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