Bitcoin mining is a process that consumes a lot of energy and has been criticized for its environmental impact. However, a non-profit organization called Energy Web is trying to change that by launching a free sustainability registry for Bitcoin miners.
The registry, called Green Proofs of Bitcoin (GP4BTC,) aims to measure and certify the energy sources and grid impacts of Bitcoin mining operations.
Energy Web Aims to Make Bitcoin Mining Greener and Profitable
According to a press release, GP4BTC will score bitcoin miners on two metrics: their purchases of renewable energy credits (RECs) and their participation in demand response programs. RECs are certificates that represent the environmental benefits of renewable electricity generation.
Demand response programs are arrangements that allow electricity consumers to reduce or shift their power usage during peak demand periods, helping to balance the grid and lower emissions.
GP4BTC is a project that aims to provide a way for bitcoin miners to prove their green energy sources and share them with different entities, according to Amy Westervelt, Senior Delivery Lead and leader of the GP4BTC initiative at Energy Web. She explained that GP4BTC will serve as a “certification layer that can be referenced by lots of different organizations based on what the miner wants to share.”
The registry will not charge any fees for now, but Energy Web may introduce a fee for miners who want to get certified or for users who want to access the data.
The registry has already certified four bitcoin mining companies at launch: Argo Blockchain (ARBK), Cowa, DMG Blockchain (DMG), Gryphon Digital Mining, and Hive Blockchain (HIVE). These companies have demonstrated their commitment to using clean energy sources and participating in demand response programs.
GP4BTC: The Answer to Environmentalist Concerns?
Energy Web is a non-profit that provides blockchain-based solutions to energy market participants who want to prove the sustainability of their products.
GP4BTC contributes to the Crypto Climate Accord’s vision. It follows the same standards as other companies that can claim to use renewable energy sources, Westervelt explained. The registry will be updated regularly, possibly to include indicators of waste gas utilization or other creative solutions.
By launching GP4BTC, Energy Web hopes to provide a credible and transparent way for Bitcoin miners to showcase their sustainability efforts and contribute to the global energy transition. The registry could also help miners attract more investors, customers, and partners who value environmental responsibility.
