According to the report, the DoE and the EPA would help minimize greenhouse gas emissions, noise, water pollution, and the negative economic impact of mining. The White House commissioned the EPA to revolutionize the power grid to guarantee a future with clean energy.
According to a recent report from the White House, cryptocurrency technologies contribute to greenhouse gas emissions, pollution, and noise. That has prevented the federal agency from achieving net-zero carbon pollution, consistent with US climate commitments and goals.
The report from the White House Office of Science and Technology responded to the executive order by US President Joe Biden. The government document highlights the challenges and opportunities of cryptocurrencies regarding energy issues and climate change.
The White House Gives Crucial Recommendations to Protect the Environment
They recommend that the Environmental Protection Agency (EPA) and the Department of Energy (DoE) initiate a class action proceeding with various cryptocurrency companies. They seek to develop active evidence-based environmental performance standards for the responsible use of cryptocurrency technologies.
According to the report, the administration should explore executive action, and Congress may limit the use of energy-intensive consensus mechanisms for cryptocurrency mining.
The DoE and the EPA should provide technical assistance to state public utility commissions, environmental protection agencies, and the cryptocurrency industry. That would allow building capacity to minimize greenhouse gas emissions, noise, water pollution, and the negative economic impact of cryptocurrency mining.
The White House Recommends Cryptocurrency Miners Provide Personal Information
The report also deals with power reliability, personal information from cryptocurrency miners, and electrical utilities. The document states that this information will remain confidential and allow federal agencies to assess crypto asset energy and climate implications.
According to the cryptocurrency community, cryptocurrency mining can benefit the environment. However, the report from the White House says that over 100 million new storage devices will connect to the grid by 2040.
Since they believe it will drain the electricity in the country, they commissioned the EPA to revolutionize the power grid. The White House pointed out this will guarantee a future with clean energy and protect communities from pollution and climate change.
Cryptocurrencies Have Increased Their Energy Consumption Three Times Since 2021
Global crypto assets have quickly increased their demand for electricity between 2018 and 2022, doubling consumption by August 2022. The White House reported between 120 and 240 billion kWh per year, which exceeds the annual consumption in countries like Argentina and Australia. That an equivalent to between 0.4% and 0.9% of the electricity consumption worldwide.
A third of global cryptocurrency operations might be in the United States, consuming between 0.9% and 1.7% of electricity. That range of electricity consumption compares to all home computers or all residential lighting in the country.
The US share of global mining for Bitcoin, the pioneering cryptocurrency, has risen from 3.5% in 2020 to 38%. The electricity consumption for cryptocurrency mining in the United States has tripled since January 2021, although it remains relatively small.
By Alexander Salazar
