Bitcoin Mining And Sustainability : An OxMiner's Approach

Everyone who has ever mined Bitcoin has had a cause to consume electricity at some point and may have realised along the line that an insane amount of electricity is unfortunately required to keep the system running.

Assuming but not conceding that the ugly side of the Bitcoin revolution is cryptocurrency mining, a complex and energy-intensive process, the question that needs to be asked is as to whether or not there is a viable off-grid solution to the lingering issue of Bitcoin's disproportionate consumption of electricity.

Since the advent of Bitcoin, thirteen years ago,miners have continued to play a crucial role in maintaining the security and integrity of the network. But much of this effort has continued to exact environmental costs and according to critics, the effects of Bitcoin mining are a major concern to the world.

However, with the growing popularity of renewable energy sources such as wind and solar energy, nuclear energy and hydroelectric power, the rate of consumption is bound to decline over time. In light of this, chances are that traditional cryptocurrency mining would be supplanted by a more sustainable approach in the future.

Moreso, a recent study by Capital Group

a leading asset management firm, showed that 89 percent of global investors prioritised ESG issues in 2022, as against the 84 percent surge it recorded in 2021, bringing vast opportunities to the doorsteps of crypto mining companies.

If Bitcoin Mining is a Race, Then Sustainability Is The Goal

The transition to green crypto mining is underway and has received more attention in the US than anywhere else around the world.

According to the Cambridge Bitcoin Electricity Consumption Index, Texas accounts for 10.52% of all the new Bitcoins that are mined across the world. As a matter of fact, 30% of Bitcoin mined in the US comes from Texas.

What made this all the more significant is that 58.9% of Bitcoin mining in Texas is now powered by renewable energy sources, thanks to an abundance of cheap renewable energy sources and the state's pro-Bitcoin mining policies.

While countries such as Iran and China have altogether banned crypto mining, Texas has continued to put the US on the map as the largest crypto miner in the entire world by doubling down on renewable energy sources.

Moreover, the race to make crypto mining sustainable has also attracted several crypto projects in the last couple of years. A notable example of a crypto project pursuing the clean crypto agenda is OxMiner, a DeFi-based cryptocurrency mining platform that harmonises both renewable and non-renewable energy sources.

Through the issuance of NFT, it seeks to lower the entry barrier to cryptocurrency mining so that users do not have to purchase any expensive mining equipment such as ASIC miner, thus making the ease of earning Bitcoin mining rewards less cumbersome and costly.

The key incentives provided by OxMiner are worth examining. One, it is backed by Bitcoin, which implies that miners are allowed to participate and earn rewards in the mining operation. And two, it offers multiple revenue streams, allowing miners to earn profits from a range of incentives including NFT collections, mining fees and mining pool profits.

Traditionally, the cost of setting up a cryptocurrency mining operation is very high, especially in terms of how much it costs to purchase ASIC miners and the huge amount of electricity that is required to power them.

In many African countries where electricity consumption is low and costly, traditional cryptocurrency mining might be an obstacle that completely obliterates cryptocurrency mining opportunities. But a less costly option such as the one developed by OxMiner might be preferred by people who want to invest in the future of Bitcoin.

While OxMiner may represent a significant step forward in the field of sustainable Bitcoin mining operation, it does seem to have the potential to make Bitcoin mining more accessible, profitable, and sustainable to Bitcoin miners around the world.

Conclusion

When it comes to Bitcoin mining, the question of sustainability takes the centre stage. While the rewards are great, the cost of mining Bitcoin can be perilous and damaging to the environment without sustainable practices.

Although the long ranging issue of cryptocurrency mining began with Bitcoin thirteen years ago, the debate as to the suitability of cryptocurrency mining operations altogether is still ongoing.

The intense search for sustainable solutions has continued to give to frantic efforts across the world. Meanwhile, a significant progress has been made in Texas in sustainable Bitcoin mining and there is a growing number of crypto projects such as OxMiner that are designing a grand scheme for the clean crypto agenda.

What does this mean? That more attention and funding will be poured into the sustainability agenda of crypto mining operations as time goes on. Additionally, it implies that Bitcoin mining will eventually have to give way to a more renewable-energy focused strategy in the future.