· 2 min read
illuminem summarizes for you the essential news of the day. Read the full piece on CNN or enjoy below:
🗞️ Driving the news: The booming cryptocurrency industry is consuming massive amounts of electricity, increasingly tapping into clean energy sources
• In Abkhazia, an unrecognized breakaway region of Georgia, illegal crypto mining has worsened blackouts, forcing reliance on Russian fossil fuel power
• Similar concerns are rising in Paraguay, Ethiopia, and the U.S., where crypto firms are securing renewable energy to fuel operations
🔭 The context: Bitcoin mining requires enormous computing power, making electricity the biggest cost factor
• Global crypto mining now consumes more energy than Pakistan, and demand is expected to rise 40% between 2022 and 2026
• While some companies claim they are utilizing "underutilized renewables," experts warn this diverts clean energy from local communities
🌍 Why it matters for the planet: Increased crypto mining risks undermining the global energy transition by overloading grids and forcing regions to revert to fossil fuels
• In places with energy shortages, such as Ethiopia and Paraguay, crypto mining can worsen inequality and limit access to affordable electricity
• Without regulation, the industry's rapid expansion could contribute to both environmental and social crises (See sustainability performance of tech companies like Cisco, Okta and Bently Systems, Incorporated).
⏭️ What's next: Some governments are cracking down—Abkhazia has banned crypto mining, and activists are destroying illegal mining equipment
• Meanwhile, companies like MARA Holdings and BitFuFu continue expanding operations in developing nations
• Calls are growing for global regulation to prevent crypto mining from destabilizing energy markets and worsening climate pollution
💬 One quote: "If you use all that cheap, clean hydropower for crypto mining, then humans and small businesses can’t use it—and often it is fossil fuel-based.” — Mandy DeRoche, Earthjustice
See here full sustainability performance of tech companies like Cisco, Okta and Bently Systems, Incorporated
📈 One stat: Bitcoin mining now consumes more electricity than Pakistan, a country of over 230 million people
Click for more news covering the latest on renewable energy
