It is no myth that cryptocurrency transactions for mining processes require a massive volume of energy. Bitcoin undoubtedly takes the pie, but its silver brother Ethereum is not much behind. The brighter side to this is that the Blockchain carbon footprint is slowly decreasing.
A Twitter user- Digiconomist, in a recent study presented the numbers of Ethereum’s position with regards to energy consumption. He tweeted,
“The latest #Ethereum Energy Consumption Index is 7.737 TWh per Year/0.72 Mil US households (+3.9%)
44.2 KWh per unique transaction (powers 1 US household for 1.5 days) #MakeEthereumSustainable”
Consumption level for Ethereum has increased since February 2014 at a steady pace, exceeding 20 TWh four years later in late 2018. However, the subsequent drop has been pretty impressive. The consumption level fell sharply below 10 TWh early in January this year.
The stats further revealed that Ethereum’s annual consumption of electricity, which is equivalent to the consumption level of the South African nation Angola, is estimated to be 7.91 TWh, of which energy utilized per transaction is estimated to be around 45 KWh. Both annualized global mining revenues, as well as annualized global mining costs stand at a value of $790.6 million. This exorbitant amount of energy could be deployed to power over 732k households.
Ethereum holds 0.04% of the total of the world’s electricity consumption. Bitcoin, which has an annual carbon footprint of over 23 kilo-tonnes, gobbles a considerable chunk of 0.22%.
Bitcoin and Ethereum combined stand at 45th on the world’s map for energy consumption level behind Israel at 43rd and Greece at 44th.
The report further points out that over 4 million households in the US can be powered with the amount of energy used up by the Bitcoin payment network.