Texas A&M University highlighted that Bitcoin mining has demonstrated great potential for flexibility in energy demand.
A study conducted by Texas A&M University, one of the largest and most prestigious universities in the United States, pointed out the benefits that Bitcoin mining can bring to help stabilize energy networks.
While some claim that Bitcoin mining consumes too much energy to validate transactions on the blockchain and that this is harmful to the environment, many others have begun to delve deeper into the topic to understand the potential benefits and value that crypto mining brings.
Bitcoin is primarily establishing itself as a store of value asset, but it also functions as a decentralized means of exchange that allows people to transact without borders. As a result, cryptocurrency adoption is on the rise globally. Currently, it is estimated that Bitcoin has about 200 million users worldwide And as interest and adoption of Bitcoin has grown, so has its computing power or hash rate, which is currently exceeding 366 exahashes per second (EH/s).
Source: Coinwarz
This amount of power on the blockchain network, which represents the power of the connected miners, is computationally energy-intensive, noted Texas A&M University, one of the institutions that has been interested in delving deeper into the topic of Bitcoin mining, its impact and its benefits.
How can Bitcoin stabilize power grids?
According to study As recently published by Texas A&M University, the energy consumption of Bitcoin mining will increase as the crypto industry continues to advance.
However, Bitcoin mining It has several special features which play a fundamental role in the flexibility of energy demand. In a report Published last year, data analysis and research firm Arcane Research had explained that Bitcoin mining has the ability to be agnostic, modular and portableThis means that BTC miners can locate their facilities anywhere, operate based on the available power generation capacity, and disconnect or move their equipment at any time to relocate and take advantage of the energy surplus in a given area or region.
Therefore, in its study, Texas A&M University pointed out that Bitcoin mining can significantly contribute to the stability and reliability of the electrical grid.
Texas, an example of Bitcoin mining use cases
To prove the flexibility of Bitcoin miners' energy demandTexas A&M University highlighted the behavior of crypto miners in the state of Texas, in the United States.
Bitcoin miners take advantage of the state's abundant and cheap energy potential to sustain their operations on the blockchain network. However, when demand and stress on the Texas power grid has increased, Bitcoin and other cryptocurrency miners have immediately taken their equipment offline to ensure power in vital areas. For example, during heat waves or severe winter storms in the state, authorities issue requests for energy consumers to conserve energy, the University noted. Bitcoin miners have complied with these requests by shutting down their operations during times of high stress and demand.
“So when the network is stressed, crypto miners go offline, which demonstrates the potential for demand flexibility,” said Dr. Le Xie, a professor in the University’s Department of Electrical and Computer Engineering and associate director of the Texas A&M Energy Institute.
In addition to analyzing energy consumption and energy demand flexibility, the Texas A&M University study also focused on the carbon footprint of crypto mining facilities and their impact on the energy market.
The Texas A&M Blockchain and Energy Consortium team visited the facilities of the Bitcoin mining company Riot Blockchain, located in the city of Rockdale, Milam County. Riot Blockchain is one of the largest operators of mining equipment in the United States.
The advantages of crypto mining
Despite the challenges facing Bitcoin mining, due to the debate generated by its energy consumption, several studies have shown that there is great potential around its energy use. In addition to contributing to the stability of energy networks, Bitcoin mining can also boost economic development, accelerate the generation of new jobs and encourage the production of clean and sustainable energy, among other benefits.
Texas A&M University concluded that although the energy used to validate transactions on the Bitcoin blockchain is sometimes greater than that consumed by certain developing countries, this activity has demonstrated great potential for flexibility in energy consumption, so can be a positive and quite significant contributor to improving stability and reliability of energy networks.
Continue reading: Indonesia Considers Boosting Its Economic and Social Development with Bitcoin Mining
