Bitcoin mining has surpassed the 50% sustainability threshold, according to new research from the UK-based university.
A recent study by the Cambridge Centre for Alternative Finance (CCAF) reports that the Bitcoin mining sector has made progress in its transition towards sustainable energy sources, reaching a 52.4% share — up from 37.6% in 2022.
The research, published on April 28 by the Cambridge Judge Business School, reveals that 9.8% of the sustainable energy used in mining comes from nuclear sources, while 42.6% is derived from renewable sources like wind and hydroelectric power.
Another key finding highlights that natural gas has overtaken coal as the primary energy source. Natural gas usage rose from 25% to 38.2%, while coal dropped sharply from 36.6% to just 8.9% over the same period.
Miners also reported that 86.9% of decommissioned hardware is resold, repurposed, or recycled.
Methodology
The survey involved 49 mining companies, 41% of which are publicly listed, operating across 23 countries, including firms like Bitfarms, CleanSpark, Hut 8, and Riot. The study covers around 48% of the global mining hashrate and estimates the Bitcoin network’s annual electricity consumption at 138 TWh — roughly 0.5% of global usage. Emissions are estimated at 39.8 megatonnes of CO₂ equivalent, while hardware efficiency improved by 24% compared to the previous year.
The CCAF authors noted that this new study serves as a starting point, highlighting the need for further research on issues like methane mitigation, heat reuse, and broader social impacts.
The current geography of mining
The study also confirmed North America’s dominant role, with the United States accounting for 75.4% of reported activity and Canada in second place with 7.1%. Emerging mining operations were observed in South America and the Middle East, alongside established ones in Northern Europe.
From an economic perspective, electricity represents over 80% of miners’ operating expenses, with reported average costs of $45 per MWh for energy and $55.50 per MWh including all expenses.
Amid increasing sector challenges, many companies are diversifying into areas like HPC/AI or adopting alternative energy strategies such as waste gas utilization and heat recovery to improve efficiency and develop new revenue streams.
The CCAF authors emphasized that “despite [Bitcoin mining’s] impressive growth, the rapid transformation has outpaced transparent, empirical data collection, often leaving policymakers, researchers and the public reliant on outdated assumptions or anecdotal information.”
Alexander Neumueller, Head of Digital Assets, Energy, and Climate Impact Research at CCAF, added that “this report directly addresses a persistent data gap by relying on direct practitioner insights rather than abstractions.”
