Crypto is the new coal… Cooler only on Twitter

Where are you, environmental champions?

In an era where climate change and sustainability are paramount global priorities, every emerging technology is being scrutinized for its environmental impact, Trump’s contrarian views notwithstanding.

While cryptocurrencies promise financial decentralization and freedom, they come with a heavy, often hidden, environmental cost.

They promise to solve problems that don’t exist, to mine currencies that don’t exist, backed up by assets that don’t exist, for net gains that don’t exist…

…because they are at best a zero-sum game between buyers and sellers, but with a huge cost of production, and a much higher environmental cost.

From massive energy use to water consumption and electronic waste, cryptocurrencies, esp. those based on Proof-of-Work (PoW) systems like Bitcoin, are proving to be inherently anti-environment.

The energy-hungry nature of Proof-of-Work

The foundation of many cryptocurrencies lies in Proof-of-Work, a system where crypto miners solve complex mathematical puzzles to validate transactions.

This process demands immense computational power and, in turn, electricity.

Bitcoin mining alone has been estimated to consume more electricity than countries like Argentina or the Netherlands annually.

Much of this energy is still sourced from fossil fuels.

The more popular Bitcoin becomes, the more power it consumes, creating a disaster in climate terms.

The e-waste problem

Crypto mining is not just a digital exercise; it’s a hardware nightmare. Specialized computing machines become obsolete quickly. These cannot be repurposed for everyday computing and often end up as hazardous electronic waste.

It’s estimated that a single Bitcoin transaction can produce two iPhones’ worth of e-waste, a staggering quantity from a system touted to “decentralize” power

Emissions without borders

The beauty (or rather, the curse) of crypto is that it’s location-agnostic, and that’s bad news for the environment. After bans in one country, mining farms migrate to others with cheaper and dirtier energy.

These operations often escape local environmental regulation, making the global emissions footprint of crypto untraceable and unmanageable.

Effectively, crypto turns climate accountability into a cross-border blame game.

4. Water footprint: The hidden environmental cost

High-performance mining rigs generate enormous heat and require constant cooling, often with massive clean water use. Many crypto mining farms rely on evaporative or direct water cooling.

In 2023, Bitcoin’s global water use was estimated at over 1,600 GL (gigalitres) per year, more than some nations’ annual consumption.

One Bitcoin transaction can consume as much water as a small household does in several weeks.

This puts added pressure on already stressed water sources, and in some cases, threatens ecological balance in nearby rivers and aquifers.

Green-washing won’t save the planet

Crypto defenders often talk about carbon offsets, green mining, and renewables. But let’s be real:

• Offsets don’t erase emissions; they only move the guilt around.
• Renewable claims are rarely verified and often inflated.
• Many crypto mining setups still chase cheaper coal, not cleaner power.

If every polluting industry could hide itself in “green” talk like this, we’d all be living in a very toxic, falsely “eco-friendly” world.

Alternatives exist. But are they enough?

Yes, there’s Proof-of-Stake (PoS), a greener alternative (only from the environmental angle) that Ethereum has thankfully adopted. Ethereum’s shift to PoS slashed its energy use by over 99.9%, though the fundamental flaw about cryptocurrency still subsists.

Anyway, the crypto kingpin, Bitcoin, is still clinging to PoW like a stubborn old monarch. Without mandated adoption of PoS or tougher global regulation, crypto’s purported green promise remains a myth.

And as if that weren’t enough… Let’s add a Ddash of absurdity

Just when you thought all crypto did was burn fossil fuels, drink up freshwater, and spew e-waste, there’s more!

Cryptocurrencies are a dream for money launderers, tax evaders, and ransomware gangs. Anonymity has its price, and society bears it.

They enable fast, unregulated global transactions, which sounds great, until you realize it’s also perfect for financing terrorism, black markets, and shady regimes.

And then comes the brilliant idea floated by Trump, that cryptocurrencies could be used as collateral for housing loans.

Imagine your mortgage backed by crypto. What could possibly go wrong?

Crypto may be volatile, energy-hungry, water-intensive, and borderline lawless, but hey, at least it’s decentralized.

All that glitters is not gold

Cryptocurrencies are celebrated as the future of money. But for now, they seem to be:

• Bad for the planet
• Risky for investors
• Problematic for law enforcement
• And laughably unstable for mainstream finance

In a world desperately seeking environmental responsibility, crypto’s carbon-fueled, clean-water-cooled, hardware-hungry, law-dodging revolution is not the future we need.

Technological innovation must align with planetary limits. Otherwise, it’s not innovation, it’s indulgence.

Environmental activists, where are you?

So here’s the question: Where are you,… environmental champions? Where are the impassioned youth activists, the global climate summits, the sustainability influencers, the liberal intellectuals, all of whom rightfully protest coal, oil, and plastic?

Do you understand that crypto mining is rapidly becoming the digital fossil fuel of the 21st century, invisible, borderless, and unaccountable?

If you know, why are you silent?

And if you don’t know, please pay attention to the dangers of cryptocurrencies without delay.

Note:
1. Text in Blue points to additional data on the topic.
2. The views expressed here are those of the author and do not necessarily represent or reflect the views of PGurus.

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