It turns out cryptocurrency might have a carbon footprint problem. Bitcoin was built to be self-limiting to slow the growth of the value by curbing how many Bitcoins were available on the market with increasingly complex algorithms. This sounds great on paper until you realize that more complex equations mean more computing power, which means more electricity. Bitcoin mining operations have made headlines for things like pulling from Tesla re-charging stations and crashing power grids in Venezuela. In China they’re pulling electricity directly from a hydroelectric dam.
The good news is that it’s not too late. Not all cryptocurrency is built to use more and more power with every transaction, and while adoption of cryptocurrency technology is still in its infancy that is the time to make those changes. Currently Bitcoin Lightning Network is under development, and when it launches it will process transactions using less energy.
Learn more about crypto’s carbon footprint problem from this infographic!