The debate over Bitcoin’s environmental impact continues, with critics raising concerns about its energy consumption, while ESG researcher Daniel Batten challenges many of these assertions.
In a recent thread on X, Batten identified nine prevalent criticisms regarding Bitcoin mining’s energy usage that he claims are contradicted by peer-reviewed research and data from power grids.
“Every emerging disruptive technology faces misconceptions fueled by ignorance, insufficient data, and fear of the unknown,” noted Batten.
In November, the Dow Jones criticized Harvard University for allocating part of its endowment to Bitcoin, branding it a “fake currency and a vehicle for money laundering that also poses an environmental disaster.”
In July, Bloomberg argued that Bitcoin “consumes the electricity intended for the world’s impoverished population.”
Some environmental scientists challenge these perspectives, contending that the indirect emissions and opportunity costs associated with mining are hard to gauge.
Myth: Bitcoin is resource-intensive, disrupts power grids
The assertion that Bitcoin requires excessive energy, water, and e-waste per transaction is simply “not accurate,” he stated.
Batten points out that four peer-reviewed studies have already disproven this notion, showing that resource consumption is separate from transaction volume.
He referenced peer-reviewed research highlighted in the University of Cambridge’s 2025 Digital Mining Industry Report, which revealed that Bitcoin’s energy consumption is mostly independent of transaction volume. “This indicates that Bitcoin transaction volumes can grow without a proportional increase in resource usage.”
Furthermore, the claim that Bitcoin mining disrupts power grids is incorrect, as it actually contributes to grid stability through flexible load management, particularly in regions with a high reliance on renewables, such as Texas.
Bitcoin mining does not raise electricity costs
There is no evidence suggesting that everyday consumers incur higher electricity costs due to Bitcoin miners, he emphasized.
“Neither data nor any peer-reviewed research supports this assertion,” he added, pointing out various instances where Bitcoin mining has been shown to assist in lowering prices.
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Fourthly, comparing Bitcoin’s energy consumption to that of entire nations misrepresents the situation, as the focus should shift toward transforming energy sources rather than solely reducing energy use, according to the Intergovernmental Panel on Climate Change (IPCC).
“The global computing network supporting Bitcoin currently uses more energy than Thailand or Poland — indeed,” reported Morningstar in November.
Batten also countered claims about Bitcoin having a “high carbon footprint,” asserting that mining does not produce direct emissions and only results in scope-2 emissions from electricity consumption.
“Bitcoin mining stands out as the first global industry with verifiable third-party data confirming it has surpassed the 50% sustainable energy threshold.”
Proof-of-stake isn’t necessarily superior
Batten also challenged the idea that proof-of-stake Ethereum (ETH) is more environmentally friendly than proof-of-work Bitcoin (BTC). Asserting this conflates energy consumption with ecological harm, he explained.
In 2022, an article from the Australian Financial Review about Ethereum’s transition to proof-of-stake noted the blockchain previously consumed as much electricity as Chile.
However, Batten argues that PoW offers numerous advantages, such as mitigating methane, enhancing energy grid stability, increasing renewable energy capacity, and monetizing wasted renewable energy.
Batten maintained that while landfill and flare gas could theoretically be utilized elsewhere, such alternatives have not proven economically viable at scale.
Bitcoin mining encourages renewable energy usage
The claim that Bitcoin mining diverts renewable energy from other consumers is also unfounded, as evidence demonstrates the contrary, he asserted.
“A significant number of individuals now have access to renewable energy who previously would not have, largely due to Bitcoin mining,” reported Batten, citing a project called Gridless in Africa, which has provided renewable energy to an estimated 28,000 individuals.
Ultimately, the notion that “Bitcoin mining wastes energy” is a misconception, as it actually prevents renewable energy from going to waste, achieving over 90% utilization of solar and wind in various studies, according to the ESG expert. Batten referenced peer-reviewed research by Moghimi et al. and Lai and You, which indicated Bitcoin mining noticeably decreases renewable energy curtailment and enhances microgrid economics.
“Moreover, labeling energy as ‘wasted’ is not a neutral assessment, but rather a subjective judgment. One can only assert that energy is wasted when no utility to humanity is derived in the process.”
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