Can You Mine Bitcoin With Solar Power?
The process of putting new Bitcoins into circulation and having transactions confirmed by the network is known as bitcoin mining. In general, miners are attracted to the incentives that come from successfully solving complex tasks that are necessary to add blocks to an existing chain. However, the big question remains: is mining as profitable as it is portrayed? What are the difficulties encountered in mining? How can mining be made more environmentally friendly and green?
In today’s article, we’ll try to answer these questions. Let’s get started.
Why Do We Need Solar Power?
Bitcoin energy consumption has increased tenfold in the past five years with over 91 terawatt-hours yearly, translating to about 0.5% of worldwide electricity consumption. This alarming rate of energy consumption has sparked a movement for greener energy and lower electricity consumption.
There are also two important issues, notably the cost and consumption of energy, as well as the environmental impact of mining.
The necessity for cleaner energy in Bitcoin mining grew as a result of the twofold negative consequences of regular electricity. Is solar energy, on the other hand, any better? Is it useful for Bitcoin mining? Let’s have a look.
Solar Energy Vs Regular Electricity
Solar energy is considered to be a viable alternative to the problems that regular electricity causes. When completely tapped into, it is thought to be a source of clean or green energy with the potential to replace conventional energy.
The advantages of solar energy over electricity fall into two categories:
- Advantages Due To Cost
After the initial purchase and installation costs, solar energy incurs virtually no additional costs and requires no maintenance. The number of panels required to yield the needed electricity is between 30-50 and costs about $35,000. This is about the same as the cost of mining a single Bitcoin and is well worth the investment. Knowing this, switching to Solar energy is significantly less expensive than paying outrageous amounts on a yearly basis to achieve the same benefits.
Some other advantages of solar energy over regular electricity in cost are:
- Mining comes at no cost for nearly 25 years after the initial payback period.
- Negative-priced power occurs in countries like the United States, Canada, etc, and can enable one to earn on excess electricity generated.
- The Federal solar tax credit allows a 30% reduction in installation costs. By reducing costs further, mining is made more profitable.
- Solar panels produce energy even in extreme weather as opposed to regular electricity, so mining activities are unaffected.
- Solar energy is an infinite result and will continue to reduce in price and increase in availability.
- Advantages Due To Effect In Nature
The fight against climate change is global, leading to regulation changes and funding in favor of renewable energies. It is hoped that by converting to solar energy, the massive carbon emissions from mining activities can be offset. Already, Bitcoin miners get 56% of their total energy through renewable sources.
Some advantages of solar energy as opposed to regular electricity in nature are:
- It is pollution-free and increases air quality.
- It does not emit greenhouse gasses, thus helping combat climate change.
- It reduces dependence on fossil fuels.
- Unlike fossil fuels, solar energy does not require water resources, so it limits water pollution and does not affect the global water supply.
- In the extraction of fossil fuels for electricity generation, land pollution often occurs. Solar energy is superior and does not result in soil pollution.
Apart from its advantages in cost and in combating climate change, solar energy improves public health and reduces health care costs as well as premature mortality.
The importance of clean and renewable energy cannot be over-emphasized in the Bitcoin mining industry
As the industry progresses, a majority switch from fossil-generated electricity to renewable and sustainable energy is hoped for.
Our mission at EZ Blockchain is to breach the gap between the energy sector and the blockchain ecosystem. We believe in the utilization of waste energy and that solving problems associated with gas flaring and stranded gas problems is a true win-win for both the energy and crypto industries. We also provide solar and wind crypto mining services as well.
EZ Blockchain is an innovative company that understands the problem and its environmental implications and is driven to create a gas flaring mitigation solution. This solution is eco-friendly, economical, and profitable for both producers and landowners while meeting environmental protection regulations.
We are on a quest to solve global waste energy problems with the help of crypto mining. We believe this is achievable through the strategic implementation of our innovative and revolutionary solutions.