Thread by @ofnumbers

someone asked for me to explain the math, so here is a short thread detailing a simple model using publicly known numbers:

the current Bitcoin network hashrate is around 50 exahashes/sec
the most common mining hardware is still the S9 antminer which churns out ~13 terahashes/sec

https://twitter.com/ofnumbers/status/1032350035701161984

thus the hashrate pointed at the Bitcoin network today is about 50,000,000 terashashes

this is the equivalent of 3,846,000 S9s... yes over 3 million S9s.

while there is other hardware including some newer, slightly more energy efficient gear online, the S9 is a good approximate

because the vast majority of these machines are left on 24/7, the math to estimate how much energy consumption is as follows:

in practice, the S9 draws about 1,500 watts. so 1,500 x 24 = 36kWh per machine per day.

here's a good thread explaining this:
quora.com/How-much-elect…

in a single month, one S9 will use ~1,080 kWh.

thus if you multiple that by 3,846,000 machines, you reach a number that is the equivalent of an entire country.

for a single day the math is:
~138.4 million kWh / day

annually that is:
~50.5 billion kWh / year

for perspective, ~50.5 billion kWh / year would place the Bitcoin network at around the 47th largest on the list of countries by electricity consumption, right between Algeria and Greece:

en.wikipedia.org/wiki/List_of_c…

but, this estimate is probably a lower-bound because it doesn't include the electricity consumed within the data centers to cool the systems, nor does it include the relatively older ASIC equipment that is still turned on because of local subsidies a farm might receive.

so what?

recent analysis from a researcher at @PwC places the Bitcoin network electricity consumption higher, at more than the level of Austria which is number 39th on that list above:

thetimes.co.uk/edition/busine…

or to look at it in a different perspective:

the Bitcoin network is consuming the same level of electricity of a developed country - Austria - a country that generates ~$415 billion per year in economic activity:
en.wikipedia.org/wiki/List_of_c…

based on a recent analysis from Chainalysis, it found that Bitcoin - which is just one of many PoW coins - handled about $70 million in payments processed for the month of June:

bloomberg.com/news/articles/…

you don't have to be a hippy tree hugger (i'm not) to clearly see that an proof-of-work blockchains (such as Bitcoin and its derivatives) are currently consuming significantly more resources than they create.

yet this math is hand-waved away on a regular basis by coin lobbyists.

reporters, if you plan to write future stories on this topic, always begin by looking at the network hashrate of the specific PoW coin you are looking at and dividing it by the most common piece of mining hardware. these numbers are public and cannot be easily dismissed.