A blog post by Bitcoin ESG Forecast reveals a significant increase in sustainable energy usage within the Bitcoin mining sector, reaching a record high of 54.5%. The sustainable mining field saw a 3.6% rise throughout 2023.
Analyzing data from the Bitcoin Energy and Emission Sustainability Tracker (BEEST) model, the blog compares Bitcoin’s sustainable energy progress over the past four years with other sectors, highlighting its current position as the highest user of sustainable energy across multiple sub-sectors.
The Bitcoin ESG Forecast shared research on off-grid Bitcoin miners using methane emissions, noting that small oil producers in Canada and the USA are paying for natural gas flaring permits, with some companies directly utilizing harder-to-detect methane.
In response, some mining companies are not shying away from using vented methane gas to generate electricity for Bitcoin mining, which reduces environmental impact compared to releasing it into the atmosphere. This has led to an unprecedented 7.3% reduction in total emissions for the Bitcoin network, the highest level of offset-free emission reduction in any sector.
The article mentions Tether‘s foray into hydro mining in Latin America and the exploration of more off-grid methane-reducing mining activities, indicating the Bitcoin network’s increased use of sustainable energy. Following China’s ban on crypto mining and restrictions in Kazakhstan, miners have predominantly moved to greener grids or sustainable off-grid locations in North America. Global grids are becoming 0.7% greener annually, resulting in a 29% improvement in emission intensity for on-grid Bitcoin miners compared to 2021.