The utilization of hydrocarbon fuels for Bitcoin mining has experienced a significant decline over the last 13 years, particularly with a notable drop in the use of coal energy.
The percentage of coal energy in Bitcoin (BTC) mining has fallen from 63% in 2011 to just 20% in 2024, marking an average annual reduction of about 8%. This information comes from a new analysis published recently, detailing these shifts in energy consumption.
Simultaneously, the reliance on renewable energy sources for Bitcoin mining has consistently risen, with an average annual growth rate of 5.8%.
This data illustrates a continual transition within Bitcoin mining toward cleaner and more sustainable energy sources. The analysis predicts further decarbonization and a decrease in Bitcoin’s environmental impact in the years ahead.
### Global Coal Energy Usage Reaches New Heights in 2024
This shift occurs against a backdrop of increasing global coal consumption, highlighting the evolving energy profile of Bitcoin.
The International Energy Agency (IEA) reports that global coal usage has reached an all-time high, estimated at 8.8 billion tonnes in 2024.
Furthermore, projections indicate that global demand for coal energy is expected to remain near record highs through 2027, driven by growing consumption in emerging economies such as India, Indonesia, and Vietnam.
### Five Scenarios for Bitcoin’s Energy Trajectory Toward 2030
The analysis presents five potential scenarios for Bitcoin’s carbon footprint, ranging from a pessimistic BTC price of $10,000 to an optimistic projection of $1 million.
These scenarios include a low price at $10,000, a base case at $110,000, a medium case at $250,000, a high case at $500,000, and a highly optimistic case at $1 million per BTC.
In the medium price scenario, it is projected that renewable energy will make up between 59.3% and 74.3% of Bitcoin’s overall electricity consumption, not accounting for nuclear energy.
The report also anticipates a peak in Bitcoin mining energy use around 2030, a forecast that aligns with previous predictions from another digital asset platform.
Estimates suggest that even in a high-price environment, Bitcoin’s electricity usage could reach 11 times its level in 2020, though it would still represent only 0.4% of global primary energy consumption and 2% of global electricity generation.