Bitcoin Mining Uses 52.6% Sustainable Energy: Study

• This article examines the Cambridge Centre For Alternative Finance’s (CCAF) study on Bitcoin’s environmental impact, which underestimates the amount of sustainable mining going on.
• It explains why ESG funds hesitate to invest in Bitcoin due to unreliable data and lack of confidence in the industry.
• The article suggests that what is needed for ESG funds to support Bitcoin is independent, empirical data demonstrating its sustainability.


This article provides a look at my latest research, revealing how it came to be that a 2022 Cambridge Centre For Alternative Finance’s (CCAF) study on Bitcoin’s environmental impact underestimates the amount of sustainable Bitcoin mining going on. I also address why we can be very confident that the actual sustainable energy usage is at least 52.6% of Bitcoin mining’s total energy use.

Why This Matters

Whatever your position on ESG investment, the reality is that it’s soaring, on track to reach $10.5 trillion in the U.S. alone. What’s also true is that Bitcoin adoption cannot occur unless this $10.5 trillion of ESG funds feels comfortable that Bitcoin is a net positive to the environment. Right now, ESG investors largely don’t feel comfortable that this is the case. In speaking with them, my impression is that one reason for ESG investor discomfort with Bitcoin is that the CCAF study, “A Deep Dive Into Bitcoin’s Environmental Impact,” reported that Bitcoin uses only 37.6% sustainable energy.

The Problem With Existing Research

While ESG investors are generally quick to dismiss the work of Bitcoin-critic Alex de Vries — debunked in an earlier Bitcoin Magazine article — I have found they are also more likely to trust the CCAF study over a Bitcoin Mining Council (BMC) study that found Bitcoin uses 58.9% sustainable energy. You can understand why: The Cambridge brand says “reputable, independent research,” while BMC’s says, “industry body.” Ironically, being an industry body, the very thing that gives BMC access to real-time Bitcoin mining data, also made its findings easier for at least some ESG investors to disqualify. Environmental groups such as Earth Justice and journals such as “The Ecologist” have been similarly quick to assume the CCAF numbers must be correct ones..

What Would It Take For ESG Funds To Support Crypto?

To date,Bitcoiners have had a muted response . The result: The conversation about ESG funds getting behind crypto cannot progress . Crypto user adoption stalls . Meanwhile , environmental groups gain more fuel from lobbying governments regulate crypto mining in punitive manner . What would it take forESg Funds To Support Crypto ?ESg Funds require three things before they willinvestin crypto projects . These are same three things White House would need order not punitivelyregulatecrypto mining : independent ,empirical datademonstratingunambiguously :


It is evident from this analysis that reliable data needs toprovidedto ensurethat credible sources support cryptoandallowESGFunds toparticipateinthisnewrevolutionarytechnology without fearoflosing moneyorbreakingenvironmentalstandards . With effectivecommunicationandcollaboration between stakeholders ,thefutureofcryptocouldlookverypositiveindeed!