In this blog, we curate relevant and remarkable content related to blockchain, cryptocurrency and the digital economy. This remarkable piece by Clem Chambers published on Forbes argues that there’s no need to worry about cryptocurrency and artificial intelligence energy demands. Read on.
“A dark cloud hangs over bitcoin and Proof of Work cryptocurrencies in general. This concerns how much energy is being used to create new coins and keep the blockchain updated and secured.
You hear the following statement all the time: “Bitcoin uses too much electricity.” What is meant is that mining crypto generates huge electricity bills.
But this is wrong. Bitcoin consumes no energy. None.
Energy cannot be created or destroyed, which is the Law of Conservation of Energy. Bitcoin does not consume energy, it turns electricity into heat.
Just because people are used to being charged for their energy consumption, they associate energy with one-time usage, as if energy is consumed and lost, like any other good.
Crypto turns electricity very efficiently into lots of heat.”