The UK is losing up to $100 million a week by failing to exploit its energy surpluses. Bitcoin mining, often criticized for its energy cost, could nevertheless transform these losses into economic opportunities, while valorizing excess wind electricity currently wasted.
Bitcoin mining is expensive in the UK
European governments, and more generally those in the West, display strong hostility towards the Bitcoin blockchain and mining activity. They generally put forward arguments, such as the lack of available energy, the high cost of the kilowatt hour for individuals, and argue that the energy used for mining could be better exploited by industries deemed “more useful”.
However, these arguments are based on a flawed understanding of how Bitcoin mining works and its energy consumption.
Motivated above all by the search for profit, Bitcoin miners favor the cheapest energy. This is generally energy that, without their intervention, is wasted, such as excess electricity produced during periods of low demand.
🔋 To dig deeper: Find out how Bitcoin mining is influencing the energy sector
Thus, the United Kingdom would lose several million dollars every day, not because of Bitcoin mining, but rather because of the absence of this activity on its territory.
The Wasted Wind site, developed by engineer Robin Hawkes, reveals that the UK wasted 77.6 million pounds of unused wind power and imported energy in the last 7 days, worth almost $100 millionincluding 18.8 million pounds ($23 million) just for the day of December 21, 2024.
If we could believe that the world lacks energy, the real problem lies in the absence of suitable infrastructure to transport this electricity to its end user. The financial losses recorded by the United Kingdom bear witness to this.
In this context, Bitcoin mining appears to be the only industry capable of establishing itself near power plants to valorize these costly surpluses.
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Why does the UK need Bitcoin?
The consensus of proof of work (PoW) is often criticized for its energy consumption, estimated at around 180 TWh per year according to the University of Cambridge.
These detractors would like to go as far as banning Bitcoin or replacing its PoW with proof of stake (PoS) consensus in order to reduce this consumption.
However, such a transition would significantly weaken the security of the blockchain and limit its censorship resistance. It is therefore crucial, not just for the UK, but for the entire world, to preserve PoW as a fundamental pillar of the Bitcoin blockchain.
📰 Also read in the news – Russia bans Bitcoin (BTC) mining in 10 regions until 2031
Furthermore, Bitcoin mining is the only industry capable of efficiently valorizing excess energy.
Do you know of another industry capable of stopping its electricity consumption on demand, at any time of the day? If so, do not hesitate to contact EDF and its British subsidiary, as they are still looking.
Finally, integrating mining into these infrastructures would not only increase the profits of energy companies, but also finance the creation or expansion of power plants, thus contributing directly to the reduction in the cost of kilowatt hours for individuals as well as to the development of renewable energies.
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Sources: WastedWind, University of Cambridge
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First attracted by the lure of gain, I am now trapped deep into the rabbit hole. With no way out, I just have to share my knowledge and convey the passion I have for Bitcoin. I am also the creator of Adopt a Block, an educational site dedicated to Bitcoin.
Marius Farashi Tasooji
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