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Next Bitcoin (Bitcoin) is under attack in terms of energy consumption, but remember this statistic: The banking industry uses at least 56 times more energy. This is according to cryptographer and Value Chain founder Michelle Kazaka:
I am not saying that Bitcoin usage is less or the same, just know that we are using 56 times the amount of Bitcoin.
Stats first shared by Michel Khazzaka in summer, It caused an uproar in Bitcoin and the wider crypto community. He published his estimates in Valuechain Reports, a company he founded to explore the world of cryptocurrency payments.
In an exclusive interview for Cointelegraph Crypto Story, Khazzaka tells viewers through extensive research that has led to surprising conclusions. In short, Bitcoin may not be as bad for the environment as the mainstream media makes people think.
Kazaka, who describes Bitcoin as “money with a memory,” tried to refute claims that Bitcoin is worse for the environment than fiat money. He spent his four years painstakingly compiling data and calculating numbers. He created a model or estimate to understand how much energy the banking industry consumes.
Kazaka told Cointelegraph from his home in Paris that he used his commute time, data centers, servers and even ATMs in his calculations. However, he did not take into account the energy put into “banks, buildings, or ATMs.” Bring in metal to manufacture. Let’s compare operations. Khazzaka acknowledges that this oversight is intentional.
So all my numbers are undervalued in banks and very accurate in bitcoin.
For Bitcoin, we concluded that Khazzaka consumes 88.95 TWh per year. Cambridge Center for Alternative Finance Estimation. Nonetheless, Khazzaka admits that Bitcoin uses a tremendous amount of energy. In return, however, users receive “an extraordinary amount of security for a very important service.”
He likens Bitcoin to space travel and explains that even if people don’t mind going to the moon, it’s the right thing to do. [energy] than a car.
Related: If BTC Hits $2 Million, Bitcoin Mining Costs Less Than 0.5% of Global Energy: Arcane
Finally, a nod to Layer 2 Bitcoin Lightning Network, Khazzaka concludes that it is very promising as a payment network. It just needs to prove itself.
