A recent study from Cornell Engineering suggests that pairing crypto mining with green hydrogen technology could facilitate the broader adoption of renewable energy sources like solar and wind power.

"Dynamic Duo"

Fengqi You, the Roxanne E. and Michael J. Zak Professor in Energy Systems Engineering at Cornell Engineering underscores the urgent need to explore avenues for aligning cryptocurrency operations with sustainability goals amid concerns over their significant carbon footprint.

"Since current cryptocurrency operations now contribute heavily to worldwide carbon emissions, it becomes vital to explore opportunities for harnessing the widespread enthusiasm for cryptocurrency as we move toward a sustainable and a climate-friendly future," the researchers said in an official statement. 

According to You and doctoral student Apoorv Lal, integrating energy-intensive cryptocurrency mining with green hydrogen technology presents an opportunity to accelerate the transition to renewable energy sources. 

The researchers have dubbed this approach the "dynamic duo." It has the potential to propel renewable energy sectors forward.

Lal emphasizes the role of a green hydrogen infrastructure in supporting cryptocurrency production, highlighting its potential to catalyze renewable energy growth and create a more sustainable energy landscape.

The study outlines how harnessing clean energy sources for blockchain mining operations and green hydrogen production can expand renewable energy capacity, particularly in regions rich in wind and solar resources.

According to a 2022 report from the White House Office of Science and Technology, crypto mining in the U.S. consumes a significant amount of carbon-based energy, equivalent to Argentina's entire energy consumption. 

The vast majority of this energy consumption is driven by consensus mechanisms like "proof of work," used to verify crypto-assets.

Read Also: CryptoWatch: AI Tokens Surge, FTX vs. SBF, Top Coin Prices Now

Virtual Energy Carriers

The researchers propose a solution to address the energy demands of cryptocurrency mining by leveraging cryptocurrencies as virtual energy carriers alongside green hydrogen. 

This approach aims to transform cryptocurrency mining from an environmental challenge into a driver of climate mitigation and sustainability.

Examining individual U.S. states, You and Lal assess the energy potential of each region. For instance, supporting cryptocurrency mining in New Mexico could potentially generate 78.4 megawatt hours of solar power for each Bitcoin mined, while in Wyoming, this could result in 265.8 megawatt hours of wind power per Bitcoin.

You draws an analogy between cryptocurrency and energy, likening them to virtual entities with tangible value. He emphasizes the potential of cryptocurrencies to hold an energy value akin to a gift card concept, thus serving as an additional function beyond their financial value.

To realize a sustainable future for blockchain-based cryptocurrency, the researchers advocate for stronger federal policies to advance climate goals and promote renewable energy. 

They believe that coupling cryptocurrency with green hydrogen mitigates its environmental impact and paves the way for a renewable energy transition.

"Coupled with green hydrogen, this approach to cryptocurrency not only mitigates its own environmental impact, but pioneers a sustainable path for renewable energy transition," You said. "It's a novel strategy." 

The findings of the research team were published in the Proceedings of the National Academy of Sciences. 

Related Article: FTX CEO: SBF Did 'Vast' Harm to Customers, Lied About Funds, Solvency