Bitcoin's Environmental Impact Debate: Origins And Current Perspectives

According to Cointelegraph, Bitcoin environmentalist Daniel Batten has attributed the widespread misconceptions about Bitcoin's environmental impact to a single commentary from 2018 by Alex de Vries, founder of Digiconomist. Batten claims this commentary has been the root of "junk science" regarding Bitcoin's energy consumption. While Batten did not specify the exact commentary, he has previously criticized a May 2018 report by de Vries titled "Bitcoin’s Growing Energy Problem." Digiconomist is known for highlighting the unintended consequences of digital trends. Batten argues that data from litmaps indicates that energy-related news and academic commentaries on Bitcoin often reference de Vries' metrics, leading to what he describes as "Bitcoin gaslighting" in mainstream media. He asserts that this misinformation has influenced investment committees, regulators, and policymakers, who remain unaware that recent studies largely support Bitcoin's environmental benefits. Digiconomist operates a "Bitcoin Electronic Waste Monitor," which claims Bitcoin has generated 40.97 kilotonnes of electronic waste over the past year, equating to 230.10 grams per transaction. However, Batten, a climate tech venture capitalist, disputes the validity of the energy use per transaction metric, labeling it as "fundamentally flawed." He argues that Bitcoin's energy consumption is not transaction-based, allowing for scalable transaction volumes without increased emissions. Batten notes that de Vries' methodology has been debunked in several academic journals, including ResearchGate, ScienceDirect, and Nature. As a result, he claims that 96% of mainstream media outlets have ceased perpetuating negative narratives about Bitcoin's environmental impact. Instead, many outlets, such as Reuters, Yahoo Finance, Forbes, and the Financial Times, have begun to acknowledge Bitcoin's environmental benefits. Despite these advancements, Batten emphasizes the need for continued education to achieve mainstream acceptance of Bitcoin mining as a component of climate action. Cointelegraph attempted to contact de Vries for comment but did not receive an immediate response. The Bitcoin ESG Forecast indicates that approximately 54.5% of Bitcoin mining activities are powered by sustainable resources. Criticism of Bitcoin's energy consumption intensified around the time Digiconomist began reporting on the issue in 2018. For instance, the Washington Post labeled Bitcoin as an "energy glutton" in an October 2018 report, warning of its potential to exacerbate climate change if its growth continues unchecked.