Novi Launch in the US and Guatemala | Amazing things are getting real

Novi written with white alphabets on a purple shade

After two years of rumors and breathtaking news, Meta has finally announced the launch of Novi in the US and Guatemala. Yes, a digital wallet.

It has been exactly two years to the announcement that it will be available. Finally, the wait is over; now that Novi is available in US and Guatemala. However, it is launched on a small scale on a trial basis. It will be made available on a larger scale once its trial period reaches success.

Novi written in white letters on purple background.
Novi is now Available in US and Guatemala on Trial basis.

Important to know:

Although the Novi Wallet is now officially there, this does not mean that the Diem Currency is here! If someone is offering to buy Diem at this point (Nov 2021) it’s a scam.

The only currency you can trade is the Stablecoin USDP (formerly known as Paxos).

Here are Some Key Factors from the Novi launch in the US and Guatemala.

  • Novi is backed up by consumer protection and essential regulatory control to avoid fraud and other potential pitfalls. Novi makes sure of the security of its users. Each customer at Novi gets verified with a government ID before signing up.
  • Novi is available in US and Guatemala for the test launch only. The primary function of the test is to observe the functionality of Novi and if any improvement should be made that can provide ease to users.
  • Facebook financial head David Marcus has said that for the test lunch, users are allowed to receive and send money through USDP stablecoin, which is operated by Paxos. Novi users can deposit dollars, convert them to USDP, and withdraw the cash in their local currency.
  • For its test launch, Novi will be using a formerly established currency that is Pax Dollar, which is supported by Paxos. Paxos is a financial service-providing company that is New York-based. It is used for protection purposes and to build the trust of their customers by protecting their funds.
  • Although the announcement did not give any hint of when the Diem (formerly Libra) will be live again. It is a formerly introduced currency by Facebook. Diem faced major criticism after its launch and, until now, is facing regulatory approval.
  • Now that Novi is available in the US and Guatemala, the users of both states can enjoy a free transfer from person to person and profit from commercial relationships.
  • For the ease of users, the digital wallet will be made available as a mobile app on both Google Play and Apple’s App Store. However, there are a few exceptions. For now, the mobile app of Novi is not available for the residents of some countries that include; US Virginia Island, Nevada, New York, and Alaska.

Final Words

Previously Novi Wallet partnered with Coinbase, which also gave us some important insights from who Novi would work, don’t forget to read that.

I hope this helps to start your journey with the Novi. If you want to keep updated with Diem, make sure to subscribe to the monthly newsletter.

Novi Wallet Partners with Coinbase: is it a Big Step?

Cellphone with Novi Stablecoin Wallet on Coinbase Account

Gosh! When will we get our hands on Diem? Surely, it has been a while, but finally, we get to hear something from the Diem Association, Novi wallet from Facebook has partnered with Coinbase, a US exchange, to provide the custody services for Novi wallet.

However, that’s not the only major point given out by the media. I’ll tell you all the following and necessary points that you must know from this small hunch of news.

Novi Wallet logo written on a phone with Facebook logo behind the Novi wallet.

Key Points to Takeaway

Here are some of the significant elements of the Novi Wallet October update.

  • The pilot program for Novi wallet has gone live in the US and Guatemala. You are free to download and use it from Google play store and Apple AppStore if you are in one of the regions.
  • However, there is no major news on the Diem yet.
  • Pilot program users can start trading the Paxos Dollar (USDP) via their Novi accounts.
  • All the Paxos Dollar (USDP) will be held in Coinbase custody. If you are a user, you can transfer the USDP instantly, securely, and free of cost.
https://twitter.com/novi/status/1450447507385950220?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1450447507385950220%7Ctwgr%5E%7Ctwcon%5Es1_&ref_url=https%3A%2F%2Fwww.coindesk.com%2Fbusiness%2F2021%2F10%2F19%2Ffacebooks-novi-taps-paxos-coinbase-ahead-of-diem-rollout%2F

What’s Happening on the Diem Part?

It was 2019 when Facebook shocked us with the news of digital wallet and stablecoin, their next big project in the crypto world. Initially, the stablecoin was called “Libra.”

At present, they have given out the digital wallet, but what about the Stablecoin?

About two years back, Libra Association pointed out that they are going after “The Libra Reserve,” a collection of low-volatile assets from reputable banks.

And VOILA! Soon after this news, we came to know that Libra Association had lost 8 founding members, including PayPal, eBay, and MasterCard. It was the right time when they chose to go with a different name, “Diem.”

As the Diem came on the radar, Facebook’s strategies also shifted and decided to peg the Diem with the US Dollar, similar to USD Coin or Tether — 2 years passed further, and still, we are not near the launch.

Although in the recent launch of the Pilot program, Diem got away with the attention of Novi wallet, but a press release from Facebook pointed out they are not abandoning the “Diem.“

Instead, they intend to shift Novi to the Diem payment network once it receives regulatory approval.

However, the big question that leaves us nowhere is either anyone interested in Diem anymore? Let us know what do you think in the comment section below.

When does Diem launch?

Diem Launch

When does Diem come out?

Since Facebook announced it’s own cryptocurrency back in 2019 – at that time it was called “Libra” and the Novi Wallet “Calibra” – people are waiting eagerly for the release date of Diem.

Facebook Diem Release Date


So Facebook Diem is coming out worldwide at: 2. February 2023 !!!

No, sorry – just kidding! If only we knew when Diem Crypto is being released. Actually, nobody really knows – it was set in 2019 and postponed ever since.

The Novi Wallet is in its test run, info here.

But if you want to be informed when Diem is being released, you can sign up here, and we’ll email you as soon as it’s there:

We’re sorry we can’t give you better information at this time, but we’ll inform you right away!

For the time in between, why don’t you find out how you can use Diem here:

Is Safemoon Crypto still worth it? Should I Buy Safemoon?

safemoon crypto logo written with white letters and a green logo on a dark background

Cryptocurrencies are not an alien concept anymore. Several crypto investors are always looking to put something in the bucket of the digital currency world.

However, volatility has always been linked with the crypto world, but now things are changing around — a piece of great news for all the crypto enthusiasts out there. A new cryptocurrency that gets into the eyes that might turn the tables another way around is called Safemoon.

Today I will help you with all your questions regarding this new cryptocurrency, whether you should buy Safemoon or let it pass as a spoof. Either way, in the end, you will be all aware of Safemoon, and who knows where your next investment would land?

Continue reading “Is Safemoon Crypto still worth it? Should I Buy Safemoon?”

Can I mine Cryptocurrency on a Phone? Get Rich with Your Phone?

Mining cryptocurrency on a phone in front of a minig rig.

Let me ask you a question if there is something most essential to you, what would that be? Your phone, right? And what if you can mine cryptocurrency on a phone?

Yes, it is possible to mine cryptocurrency on a phone, but there are numerous problems due to ineffective software and graphical processing. Also, mining cryptocurrency on the phone would never be as impressive as on a traditional mining rig. But you can mine and earn some extra coins.

Continue reading “Can I mine Cryptocurrency on a Phone? Get Rich with Your Phone?”

What Is Ethereum | Difference Between Ethereum And Bitcoin?

bitcoin and ethereum are placed on a balance to be differentiating with two ethereum coins and one bitcoin.

From the last year, the crypto-world is taking a slight drift. There was a sudden drop in the market, which partially crushed most of the crypto-enthusiasts. However, as the market is getting back, Ethereum has taken the spotlight.

Even though Ethereum and Bitcoin are the most popular cryptocurrency and works on a similar blockchain, but there are many differences come along. 

So, the question that pops in mind is how and why Ethereum is popular, and what is the difference between Ethereum and Bitcoin? And clear up that space; we are here to help.

Ethereum gold coin with Bitcoin gold coin

Difference Between Ethereum And Bitcoin

Ethereum and Bitcoin get toe-to-toe. When we look at the similarities, there are several, such as both use distributed ledgers and are decentralized, meaning not issued by any authority.

Bitcoin is a cryptocurrency that can do one thing perfectly, but Ethereum is like an intelligent platform that can go a long way while keeping decentralized finances in consideration.

However, If we look at the differences, there are several, which are as follows.

Bitcoin gold coin is right next to Ethereum gold coin and few other silver coins.

1. Smart Contracts

Smart contracts on Ethereum are something that is one of the significant differences. It is a set of codes that run on the Ethereum blockchain, which allows you to run decentralized applications or dapps.

Consider these dapps as something similar to your phone applications, but they aren’t controlled by any authority, which gives you privacy in your financial decisions.

2. Increased Transaction Speed

Surprisingly the transaction speed of Ethereum is slightly more than Bitcoin. Ethereum can process 20 transactions in a second with a confirmation time of 5 minutes. While Ethereum 2.0 can process 10,000 transactions in a second.

3. Improved Security And Anonymity

Bitcoin is in business since 2009, but Ethereum came into the market in 2015. Since it came after Bitcoin, they tried to cover all the aspects of Bitcoin. Also, the Bitcoin network doesn’t send Bitcoins.

Instead, it secures data with the protocols of POP (Proof of Proof) and POE (Proof of Existence), which is why it is more secure and anonymous than Bitcoin.

A lock image in the centre with a purple circle. Shows the security of cryptocurrency.

Final Remarks

To sum it up, Ethereum is one of the popular cryptocurrencies that have significant progress over time. People not only use it as a medium of payment instead, but it is also quite popular within the business world, which is why most of the NFTs run on Ethereum.

Diem is also getting a lot of eyes from the people around if you like to see our guide on Diem vs. Bitcoin to understand the key differences.

Hopefully, this post would clarify all the questions related to Ethereum and the key differences with Bitcoin, but if you need anything else, drop by the comment section below, and we’ll get back to you right away.

What Is Blockchain Technology? Full Guide To Blockchain

A white background with blue colored encrypted locked devices in a network.

Blockchain is a decentralized and distributed ledger that keeps all the cryptography information distributed across the network of computers connected to the blockchain technology.

Additionally, there are different blocks on the chain that represents various transaction information. When a new transaction occurs from anywhere in the world, the record is added to the participant’s ledger.

White colored background with purple links and Blockchain written in center.
A network of Blockchain

Blockchain Technology For Beginners

We know it can be a little complex for beginners to understand the whole blockchain, but don’t worry; we will help you out.

In simple terms, you can consider blockchain as a bank, where everyone can send money without any complications of authorities keeping an eye on you and without any extra bank fees.

Meaning with blockchain, you are your own bank, and you have the authority over your money, and you can perform transactions easily, just like you send emails.

However, it is not that simple as some complex things might seem a little tricky at first, but as you get the hang of it, things would be much straightforward.

The process of blockchain from buyer to the seller.
The process of Blockchain

Blockchain works on blockchain technology, which is an unchangeable and unhackable medium to record your transactions.

On average, there are almost 500 different bitcoin transactions along with the cryptographic information on each “block” of a blockchain. 

The information on these blocks contains the links to the blocks and the information of previous blocks and forms of chain that would be used to proceed with the transactions, Thus termed as the blockchain.

Types Of Blockchain Technology

To understand blockchain in a much better way, you should learn the four different types of blockchains.

  • Private Blockchains
  • Public Blockchains
  • Hybrid Blockchains
  • Sidechains

1. Private Blockchains

The blockchains that are restricted and are not accessible by everyone are called private blockchains. People who want to join such blockchains have to take permission from the system administrator.

A single entity holds these blockchains, and they are centralized.

Ripple (XRP) is a common example of private blockchain.

2. Public Blockchains

The blockchains that don’t require any permission and anyone can access them with their will are called public blockchains. 

These are decentralized, and anyone can request validation for their transaction from miners, who earn rewards for verifying the transaction.

Bitcoin, Ethereum, Litecoin blockchains are examples of a public blockchain.

Ethereum and Bitcoin go toe-to-toe. Follow the link to go through a complete guide.

3. Hybrid Blockchains

The mixture of a public blockchain and private blockchain is called Hybrid blockchain or sometimes as a Consortium. 

They provide some extra features that might not come with them individually, such as Dragonchain and web-foundation.

IBM food trust is an example of a hybrid blockchain.

4. Sidechains

A sidechain is a type of blockchain that works along with the main blockchain. It usually helps in the transfer of information from one chain to another between two blockchains to improve efficiency.

Liquid Network is an example of sidechains.

A purple image with white colored network of different devices.
A network of devices

Final Remarks

Blockchain technology is a little tough to understand at first, but it is totally worth it afterward. We hope this post would be helpful for your understanding, and now your questions related to blockchain are answered.

Apart from Ethereum and Bitcoin, there is a new form of cryptocurrency called stablecoins, which are also getting a lot of attention.

In case we missed something. You are welcome to ask in the comment section below.

Can I Mine Bitcoin On PS5? See The Truth For Yourself!

White Sony PS5 with its original controller on top

Crypto mining is taking around the world. Everyone admires earning good passive income, right? This makes mining the best passive earning source.

But hey, can I mine bitcoin on PS5? This is the question that pops in mind for everyone who has the new PS5. 

Don’t worry. I am here to explain all about crypto mining on PS5, or is it even possible to mine bitcoin on PS5? If it is, then how can you do it.

White colored sony playstation 5 on with a controller on top

What Is Bitcoin Mining?

Bitcoin mining is a process to mint fresh bitcoins by solving complex mathematical equations with computational energy.

This process is used to verify the bitcoin transactions around the globe, and as a reward, the bitcoins are minted for the miner.

Is It Even Possible To Mine Bitcoin On PS5?

Most people out there with the latest Sony PS5 get this question whether they can mine Bitcoin on PS5 or not?

Yes, it is possible to mine bitcoin using PS5 by installing custom firmware, which was used in the PS4.

You might have seen this claim made by a Chinese team that they have successfully mined bitcoin on PS5 at 99MH/s, which is insane and impossible.

Crypto mining on PS5 at 99MH/s
Chinese group claiming to mine cryptocurrency at 99MH/s

The QR code in the image, which when scanned says, “There is no such software, hahaha,” in Chinese, assuring that this image and this claim are not legit.

In another video of Lewis Hilsenteger, the famous unbox therapy guy explains how this claim is fake. If PS5 could mine bitcoin at 99MH/s, it would be way much expensive than even two thousand dollars.

Lewis Hilsenteger explaining the insane HOAX of crypto mining on PS5.

How Does Crypto Mining On PS5 Works?

To understand how crypto mining on PS5 works, you have to understand how mining works at all, what the requirements are, and what do you need to begin, which you can do by reading our post about how you can mine bitcoin at home

With PS5 on board, you don’t need an ASIC or GPU. You already have that with PS5. However, you can’t mine bitcoin with basic PS5 firmware, and you have to install a customized firmware, preferably Linux.

ASIC mining rig with several graphics card.

Next, you have to install the mining software, preferably NiceHash. And that is all you need to do to start mining bitcoin on a PS5.

What Are The Drawbacks To Mine Bitcoin On PS5?

Crypto mining on a PS5 has certain drawbacks, which you should learn before starting mining.

Low Hash Rate

The hash rate is the speed at which fresh coins are minted. In the case of PS5, you might not get a good hash rate. Hence, not a lot of bitcoins.

Since AMD Radeon RX 6900 XT is one of the latest graphic cards, and it sits around 60MH/s, which means that even the maximum potential of PS5 isn’t going to give you a significant hash rate.

More Power Consumption

A PS5 normally doesn’t consume a lot of power, and it sits around 200W, but in the case of mining bitcoin, you will probably have to run it for several hours at maximum processing, which is going to take a lot of power.

Unfortunately, you will not be able to earn enough to pay for the electricity costs. Although an ASIC miner consumes much more power than PS5, you will get 90TH/s, which is much better than the Playstation 5.

calculator with dollar bills in the back

High Maintenance Cost

PS5 is an expensive device that can cost you a fortune to buy in the first place, and with consistent processing, it might get some wear and tear.

According to Venturebeat, the parts of PlayStation 5 alone costs $450, which means minor repairing can cost from $100 to $200 on an average.

Bottom Line

Now coming down to the last straw, crypto mining on a PS5 might seems like a big thing but believe me, mining bitcoin on a PlayStation 5 might not be the best idea. 

If you are interested in mining, you should go with the right equipment, such as an ASIC rig. Since a PS5 is a gaming console, it would go a long way with gaming.

These are the reasons why most PS5 owners avoid any kind of mining on their devices. But I hope that this post would have answered your question. If you need any help, don’t forget to comment down, and we’ll definitely get back to you.

How Can I Mine Bitcoin At Home In 2022?

Several graphics card align in a mining rig to mine bitcoin at home

Bitcoin has been in the eyes of people for a while now. Since its price went soaring, enough people have to think of it as a financial resource. Now that prices have significantly reduced since the last heights, people want to get into the Bitcoin business, which makes bitcoin mining quite anticipating.

Now here is the question of how can you mine Bitcoin at home in 2022? Well, the first thing that you need is powerful hardware, then comes the right software, and at last, you need adequate amounts of power.

However, there is something more than just your computer generating some extra bucks. What does the mining of bitcoin mean, what do you need to start your mining setup, and what are the drawbacks of mining Bitcoin at home? 

All that and other valuable information are coming below. Therefore, we suggest you read this post till the end to understand everything about mining Bitcoin at home.

 Bitcoin placed on a phone with stocks running below.

What Does Mining Bitcoin Mean?

Bitcoin mining is a process in which the computer solves complex algorithms and mathematical problems to verify the Bitcoin transactions. In return, you get to receive Bitcoins as a reward, along with the transaction fees.

How Does Bitcoin Mining Work?

Mining bitcoin is not a piece of cake nowadays. There were times when you could mint several bitcoin with a regular computer, but as more people are getting into mining, things are changing. 

Now the problems are getting more complex, and it requires massive processing power to verify one block that contains 6.25 Bitcoins today. But in most cases, these blocks are further divided into more than one miner. We’ll come to that part later.

Also, this reward is reduced to half after every 210,000 blocks, meaning almost 4 years. This process is called halving. This process helps to keep up with the inflation and forced algorithmically.

However, the blocks are the reward of the verified transaction from blockchain, and blockchain is a decentralized ledger that controls the transactions and mining of fresh bitcoins. Because of all these complexities, mining bitcoin at home isn’t that easy, but you can do it with the right tools.

bitcoin mining rigs piled in a frame.

What Do I Need To Mine Bitcoin At Home?

Mining bitcoin at home can be a daunting task, but it is possible with the right tools on board. Here is a list of all the things that you need to mine bitcoin at home.

  • A Mining Rig Or ASIC
  • Powerful GPUs
  • Mining Software
  • A Bitcoin Wallet
  • Mining Pool
  • Start Mining =)

A Mining Rig Or ASIC Rig Or Normal Computer

To mine your bitcoin at home, an essential component that you need is a mining rig. In the past, normal computers were used, which were replaced by graphic cards later. 

Now that the mining world has changed, and you will not earn anything from them (even if you do, it would be very little.) Hence, mining rigs come into play.

A mining rig or ASIC (application-specific integrated chips) is a specific hardware device made specifically for mining bitcoin or any other cryptocurrency with the same algorithm. 

ASIC rigs are much efficient as they mine more bitcoin even at home with less energy, but they can be quite expensive. Powerful rigs mine bitcoin at 14 terahashes per second (meaning 1012 attempts to solve a block per second.)

In case you don’t afford a mining rig, you can also buy a computer, which sounds more promising to mine bitcoin at home. However, this can make things a bit tough. As problems are getting more complex each day, a simple desktop computer can be daunting hardware. 

In fact, with a computer, you also have to get a decent graphics card that can cost a fortune in the present time. So, we think investing a little more in a mining rig is still a better decision to mine bitcoin at home.

Gold bitcoin standing on the pile of regular coins

The Right Mining Software

Now that you have your hardware on your side, it is time to select the component that is going to join you with the blockchain and the mining world out there. Yes, we are talking about the mining client to run on your mining rig or computer so you can mine bitcoin at home.

Since it is almost impossible to mine a hole block as an individual, one of the main tasks of the mining software is to combine the power of several miners to a mining pool (we’ll get back to that later) and distribute the work.

Mining software provides work to miners, collects and keeps the record of successfully completed results. Apart from this main job, this mining software completely shows the basic stats of the mining process, such as the temperature, cooling, average mining speed, and hash rate.

There is plenty of mining software that you can choose from in the market, but most experts recommend NiceHash for all beginners because of its user-friendly interface.

Furthermore, it mines multiple different cryptocurrencies and automatically chooses the right algorithms to mine bitcoins most profitably. All you have to do is to download the client and provide the necessary information and start mining.

Interface of NiceHash mining software
NiceHash interface

A Bitcoin Wallet

Now that you have got basically everything you need to mine bitcoin at home, you might be wondering where you would keep all those coins. This is where a bitcoin wallet comes in handy.

A bitcoin wallet is the component of mining where you store, manipulate, and manage your bitcoin addresses and the bitcoin within. 

Since bitcoins are stored in the blockchain, but there are public and private keys for you to manage your bitcoin activities. 

If you want to receive bitcoin from someone, your public key is responsible, and it can be traced with all the transactions that have gone through it.

However, private key act as a secure network and use to send off transactions. If you end up losing it, all your bitcoins that are stored in it will be lost forever. Generally, there are multiple wallets ranging from software ones to hardware and paper wallets. Each of them has its pros and cons.

For miners who are just starting out should choose a software wallet that is easy to manage, and anyone can set them up pretty quickly. 

We suggest using Bitcoin core, and if you need one that can manage multiple currencies, you can also go for Exodus, but it can be a little complex for beginners.

Bitcoin Core, a wallet interface showing available and pending amounts.
Bitcoin core interface

Mining Pool

Even with the best hardware on board, it is not that easy to mine bitcoin in today’s date. Since there is a huge number of people trying to mine bitcoins, a huge amount of energy is required to mine one Block. So, chances are high you never make it if you try it on your own. Thus, a mining pool can be a solution.

Mining pools are a group of miners who combine their hardware to mine bitcoin much quicker than mining individually, and as a result, the reward of bitcoin is less but stable, which is divided among the miners. 

Additionally, members have to pay some extra fees to the pool operator, and usually, it is around 0 to 2% of the received reward.

Start Mining

That would be all that you need to mine bitcoin at home. You can plug in your hardware, fill in the required information, join a mining pool if you like, and start your mining journey.

Tip: If you want to mine bitcoins profitably, you should keep an eye on the crypto world. It is changing every day, and you definitely wouldn’t like to miss something that can help you working profitable right away.

How Much Energy Does Bitcoin Mining Use?

In the early times, bitcoin mining was quite energy-efficient, and minimum power was enough to do the job. However, now even with large mining power, miners are not able to make a stable income.

Bitcoin mining use almost 120 Terawatt Hours (Twh) annually, according to the University of Cambridge. 

That is a huge amount, and it does make everyone think either if this bitcoin is safe for our environment or not?

Electricity cosumption graph for mining bitcoin at home.
Bitcoin energy consumption is on the rise

What Are The Drawbacks Of Bitcoin Mining At Home?

Before you head towards mining bitcoin at home, there are few drawbacks that you should be aware of.

  • It might cost you more than you earn: 

Previously, it was pretty simple to plug in your computer and start earning bitcoins. But now, one might have to pay more on the expenses than he actually mines bitcoin at home.

Here is the graph that shows a comparison between the profit and cost expense of mining bitcoin.

A graph shows how much cost and profits comes with bitcoin mining at home.
Mining profitability by MarketWatch
  • High electricity costs: 

If you want to mine, you should live in a region where you have low electricity costs to start with.

In some regions, the electricity bills don’t remain stable at one price. After a certain amount used in a month, the governments apply a specific extra tax on the billings. 

Therefore, you might have to pay the extra cost of tax even though your electricity usage (apart from bitcoin mining) isn’t that much on a monthly basis.

  • Repairing costs on hardware: 

You might be familiar that in residential areas, the electricity is supplied in single-phase or two-phase meters, which provide 120 volts or 240 volts respectively.

However, commercially three-phase meters are used, which provides more electrical voltage. This means that with less voltage in the pipeline, high-end machines are prone to fusing and require maintenance, which can put a load on your pocket.

Conclusion

It is good to see you down here. We hope you will like this interesting piece of content, and you will follow our tips and tricks to mine bitcoin at home if you decide to. 

If you think we might have left something and you need to get information on anything else, you are welcome to reach out in the comment section below.

Is Bitcoin bad for the environment? Some shocking facts!

Several mining rigs are st up to mint fresh Bitcoins.

Bitcoin is one of the most anticipating topics over the internet nowadays. Its price kept rising day by day, and suddenly the Elon Musk, CEO of Tesla, tweets that they aren’t going to proceed with the transactions via Bitcoin anymore because it is unsafe for the environment. And the market drops down by 17% afterward. Leaving all the crypto-enthusiasts with a question that is Bitcoin bad for the environment? Stay with us, and we are going to narrow it down for you.

Well, the answer to this question is Yes and No at the same time. If we are concerned with Bitcoin in general, its transactions, and trading aspects, it might not be that bad for the environment. But when we look after the mining setups, that is a straight yes.

Environmentalists have been saying out loud for a while now that carbon emissions from bitcoin mining can be hazardous. It doesn’t only use a lot of electricity, but also it can jeopardize the climate in which we are living.

What is bitcoin mining, and how does it work?

Bitcoin mining is a process for minting new bitcoins, which involves using computers to solve complex mathematical algorithms or problems. The decentralized cryptocurrencies require this software to mine coins. If you want to learn more about centralization vs decentralization, click here. The software that bitcoin miners use takes an average of 10 minutes to solve these complex problems and process with a block.

However, you might be wondering how the environment is unsafe with this process. Well, in the world of limited resources and alarming climatic conditions, a huge chunk of electricity is used by miners to mine these blocks and verify transactions. If we look after the energy-consuming ratios of Bitcoin, the major proportion goes to the mining process. As a reward, the minors receive 6.25 bitcoins per block, which are worth more than three hundred thousand dollars currently.

Graphic cards aligned in a mining rig to mint fresh bitcoin.

But this doesn’t end here; there is a dark side to the story, as the electricity that is being used by the miners is created with fossil fuels. If the bitcoin prices are increased more, more incentives are given to the miners in terms of fresh coins. Hence, more coins would be minted, resulting in large amounts of electricity consumption.

China has the largest bitcoin mining facilities till today, and unfortunately, the country depends on coal-based power. According to studies in April 2020, China has more than 75% of Bitcoin blockchain operations around the world. Therefore, some rural areas in China have been considered as the ideal destination for Bitcoin mining, mainly because of the cheaper electricity and a significant area for bitcoin pool construction (joint setup for more than one bitcoin miner combining their resources over a network).

How much energy does bitcoin mining consume?

Now that you know what’s Bitcoin mining is, you might be wondering how much energy Bitcoin mining consumes and how it is bad for the environment, right? According to an estimate by the University of Cambridge, bitcoin mining consumes more than 120 Terawatt Hours (Twh) annually.

graph of bitcoin consuming elecrticity in an year.

Such value is even more than the countries like Malaysia, Argentina, or Sweden. The report also stated that if a bitcoin was a country, it would be ranked among the top 30 energy consumers in the world. Isn’t that shocking?

Furthermore, another website, Digiconomist, estimated that a single bitcoin transaction uses a similar amount of electricity that the average American household consumes in a month. Also, it is responsible for a million times more carbon emissions than the single Visa transaction. In a time when the planet needs to cut off its carbon emissions, does it make sense to increase them? The answer would be a straight no. but still, we are here in promoting cryptocurrency.

What does Elon Musk say about cryptocurrency?

Elon Musk, CEO of Tesla, one of the richest men alive, and a famous environmentalist who is known for his iconic projects to save the environment. Has repeatedly appreciated the cryptocurrency. On March 24, he tweeted that you can buy a Tesla with the Bitcoin, which strikes a chord for all the crypto-enthusiasts that he is supporting Bitcoin.

But soon after, on May 13, he quotes that Tesla is not going to accept payments via Bitcoin because it is bad for the environment. Since then, the prices for not only Bitcoin but also Ethereum have been majorly affected. 

However, Elon Musk keeps on encouraging Dogecoin in his tweets. The coin, which was created as a spoof, has now increased in value by eight thousand percent. The credit goes to the memes for this coin, and also to Elon Musk for boosterish tweets.

Final Remarks

Glad to see you down here. Now that you know, Bitcoin has some benefits, but it can be hazardous to the environment you’re living in. Now it’s up to you, either you want to support bitcoin mining, or you want to live in a better environment.

However, it doesn’t mean cryptocurrency should be discontinued. Instead, some energy resources should be used in a controlled manner that is renewable and cost-effective to improve the environment.

We hope this post has answered the question that is bitcoin bad for the environment or not. If you didn’t get what you were looking for, you are welcome to reach out in the comment section below. Our expert team would love to help you out with everything possible.