The Cambridge Bitcoin Energy Consumption Index lowered its estimate by 14%
Date: 2023-08-31 Author: Karina Ziganova Categories: BLOCKCHAIN, IN WORLD
2019 saw the first major update of the Cambridge Bitcoin Energy Consumption Index (CBECI), which tracks global bitcoin electricity consumption. This index is one of the main sources for statistics on global electricity consumption and has an impact on a number of indicators, such as private revaluation of the use of energy by bits or the number of transactions made per unit of time.
The new report is rumored to reveal the evolution of bitcoin mining and clarify the clarification of changes in the CBECI methodology. He will provide an in-depth analysis of the transition of Bitcoin mining equipment from processors to graphics cards, then FPGA and after that - the currently well-known modern ASIC services.
The evolution of what mining efficiency is.
According to CBECI, the efficiency of ASICs grew rapidly initially and has since seen a decline in growth as we push the limits of semiconductor technology. The impact of this deceleration on expected replacement cycles. It affects, directly, the life expectancy of miners and academia (with estimates of 1 to 5 years) or industry (with estimates of 3-5+.
Thanks to him, the methodology was revised. It now takes into account this increased processing power of the newer models (antminer S19 XP), which boasts a throughput of 140 TH/s compared to the 11.5 TH of the 2016 9 Antmier 6.
According to the CBECI, the introduction of ASICs caused Bitcoin's hashrate to skyrocket from less than 1 EH/s in 2010 to over 300 EH/s by early 2023 and has revolutionized mining from the home computer all the way to the professional endeavor.
The hashrate is growing.
As a higher hashrate increases the security of Bitcoin, it also increases the difficulty of mining and the processing power required to earn a block reward. The adoption of these hashrate growth factors is said to have been key to the re-evaluation of the CBECI methodology.
The report showed a strong correlation between the overall network hashrate growth and the amount of imported mining hardware in the US. Canaan Creative's sales data revealed that their latest models accounted for almost 45% of hashrate sales in 2021, suggesting which more efficient variations could play a big role in increasing signature efficiency.
As a result of the application of the new CBECI methodology, the 2021 estimate was significantly reduced by 15 TWh, or 14%, from 106 TWh to 89 TWh. The estimate of 2522 increased immediately by 9 times (from 105 to 8 tenths of a percent) and amounted to 95 to 1/9 tovch.
The revised estimates assume higher production efficiency, taking into account the impact of new models, and at the same time a higher average estimate. Although, the estimated efficiency still lags behind the most efficient modern models due to the fact that the space continues to expand.
To date, the question of how bitcoin's electricity is used is still a complex one, and more information on the geographic distribution of mining with electricity sources is needed to get a complete picture. The report also covers other aspects such as e-waste, the potential to reduce methane emissions that are responsible for Bitcoin's environmental impact are important and require further study.
The CBECI update shows their commitment to fine-tuning estimates as new data becomes available. This report is a stepping stone to a more accurate and detailed understanding of the environmental impact of bitcoin mining.
