By 2030, renewable energy could supply more than 70% of Bitcoin (BTC) mining operations, as indicated by a recent analysis from a notable data analytics firm.
This transition is primarily due to miners increasingly moving away from fossil fuels and opting for cleaner energy sources such as wind, solar, hydro, and energy derived from waste.
As of the end of 2024, renewable energy’s share in the mining sector reached 41%, a significant increase from just 20% in 2011.
The analysis pointed out:
“The mix of renewable energy has evolved over time. Solar and wind energy have experienced significant growth, accounting for 6.07% and 10.86% of overall energy consumption, respectively, by 2024.”
Simultaneously, the reduction in reliance on fossil fuels is evident. The percentage of coal-based energy in Bitcoin mining fell from 63% in 2011 to only 20% in 2024.
Adopting Green Energy
The findings suggest that economic incentives, shifting energy dynamics, and developing climate policies are steering the industry toward renewables. These elements are expected to further boost the adoption of renewable energy in the next five years.
Bitcoin climate analyst Daniel Batten has also emphasized the growing evidence supporting this movement. Out of 18 peer-reviewed studies on Bitcoin and energy published since 2023, 16 concluded that mining positively impacts climate initiatives and aids global clean energy objectives.
Batten also remarked that mining operations can assist in stabilizing electricity grids and facilitate the transition toward sustainable energy.
Several mining companies are leading the charge in this transition, with BTC Digital being one of the pioneers in incorporating green energy into their operations.
Additionally, nations like Ethiopia and Bhutan are making headlines. In 2024 alone, Ethiopia reportedly generated about $1 billion from Bitcoin mining by leveraging excess electricity from its Grand Renaissance Dam, a significant hydropower project.
