The world – or at least the larger art of it – has now embraced cryptocurrency and accepted that it will be a force to reckon with in the future. Along the technological advancements if the realization that electricity consumption from mining of crypto will be so intensive that it could cause more harm than good in the future.
As per data from Digiconomist Energy Consumption Index, the amount of terawatt hours consumed annually in the mining of bitcoin and ethereum is 61.4 and 17.47 respectively. The amount of electricity consumed per transaction of bitcoin and ethereum is equal to the energy it takes to power 32.34 and 2.57 respectively.
The report further indicates that the energy needed to fuel the mining if these two main forms of crypto will double next year, making crypto mining the 20th country in the world in terms of electricity consumption. Currently, the world is grappling with rising sea levels as a result of risen temperatures and so there is need to control consumption to prevent further damage to the earth.
Most of the electricity used in all economies of the world comes from the burning of coal and oil – fossil fuels – and these have been seen to cause more harm than good in the last few decades. This model of mining – that utilizes fossil fuel – is not sustainable and so there is an urgent need to find alternative solutions.
Hello, Sustainable Energy
There is hope…
We already know that the mining of crypto will not stall simply because a small majority is concerned about the environment. What we can agree to is the increased number of organizations supporting the initiative to go green so as to achieve economic progress as well as care for the environment. Waste energy, an initiative by 4NEW, presents the first eco-friendly blockchain ecosystem backed by energy generated from waste.
Waste management is a menace world over, yet it is the one thing that will always be produced. Every year, 2.12 billion tons of waste are produced without fail. If anything, there is a high possibility of this increasing to be in line with population growth. Most of this waste is recycled and made into other meaningful end products, one of which could be energy – being as all mater contains energy. The electricity generated from waste can be used to mine crypto and reduce reliance on fossil fuels.
How 4new Utilize Waste
Noting the amount of waste produced globally, 4New takes in 50,000-100,000 tons of waste annually to reproduce electricity in an environment-friendly manner. The cost for operating the plants is offset by gate fees and government incentives, making it possible to produce free energy that would make mining with free electricity a possibility. Currently, most of the energy produced is sold to the national grid to ease the use of unclean energy and with new technology it is now going to be put into crypto-mining.
Unlike other sources of renewable energy, waste energy is available all-year round, thanks to the main raw material required for its generation. So, when made available for crypto mining, activities would not have to be halted do deal with shortages.
How 4NEW’s KWATT Coin Works
Now, one would argue that the price of a kilowatt of electricity is quite stable and may be so for the foreseeable future. While it is true that prices haven’t changed much in the last several years, the massive requirements that the acceptance of crypto has created means higher demand and hence the possibility of an upward price adjustment.
One KWATT Coin represents a kW of electricity a year, and when you purchase a token, you will own one unit of electricity that you can then lease back to 4NEW for mining. You will effectively be shifting waste from landfills to processes that will lead to the production and distribution of clean energy while making some cash on the side.
This mode of operation has been used before by organizations such as Giga Watt, but the KWATT coin is unique in one way: there is no additional mining cost to the miner once you buy the coin. You will have unlimited power supply for all your mining without spending an extra dollar on power.
Is this Model Sustainable?
If the power is free upon purchase of the KWATT coin, how does 4NEW sustain production? Simple… During the process, other by-products from waste – fertilizer and other products produced from recycled waste. Their sales sustain most of the processes while government subsidies do the rest. Other operational costs for the start-up are sorted by sale of the KWATT coin.
In the past, the distribution of electricity has been limited to tangible infrastructure that is controlled by governments, and so it has been impossible to scale access to electricity. In the past, electricity distributors have come into Power Purchase Agreements with large consumers of electricity who, thanks to their collective bargaining power, have been able to negotiate for lower costs.
Now, smart contract and the blockchain technology have made it possible to scale electricity – an intangible resource – so that the purchase of a KWATT coin makes gives you access to electricity regardless of your location.
Through the 4NEW decentralized ledger, all transactions will be recorded and available to all to view, as they will be legally binding too. Staying true to blockchain technology, the 4NEW ledger will be immutable and available to audits to ensure quick resolution of any disputes.
In a Nutshell…
4NEW brings power to the people quite literally by decongesting the landfills to transform waste into clean energy. This clean energy can be used domestically as well as for mining cryptocurrency to reduce emissions in the atmosphere and create better spaces without affecting the mining process.
By purchasing a KWATT coin, a user will have infinite access to clean energy for free, with the only cost being the initial cost of the coin. 4NEW will retain some rights to the coin so that a portion of the income from crypto-mining goes towards the start-ups operations.