A new report from the Cambridge Centre for Alternative Finance (CCAF) finds that 52.4% of all Bitcoin mining is now powered by green energy, marking a significant increase from 37.6% in 2022. Of this, 42.6% comes from renewables such as hydro and wind, and 9.8% from nuclear sources. This shift is attributed to environmental pressures, rising energy costs, and technological improvements.

Natural gas has overtaken coal as the largest single energy source for Bitcoin mining, now accounting for 38.2% of the energy mix, while coal has dropped sharply to 8.9% from 36.6% in 2022. Despite a rise in total electricity consumption to 138 terawatt-hours (TWh)-about 0.5% of global use-network-wide carbon emissions are estimated at 39.8 million metric tons of CO₂ equivalent, or roughly 0.08% of global emissions.

The United States now dominates global Bitcoin mining, representing 75.4% of reported activity, with Canada at 7.1%, making North America home to over 80% of green Bitcoin mining. New mining operations are also emerging in regions with abundant renewable resources, such as South America and parts of Asia.

Operational efficiency in mining has improved, with hardware now 24% more efficient than the previous year. Additionally, 86.9% of retired mining equipment is being repurposed or recycled, and companies are increasingly experimenting with waste heat recovery and grid integration initiatives. About 70.8% of mining firms report active climate mitigation efforts.

Despite these environmental gains, the industry faces economic challenges, including high electricity costs, volatile energy prices, and regulatory uncertainty. Many miners are diversifying into new markets or services, such as high-performance computing for AI.

The report notes that this progress in sustainability could influence public perception and corporate adoption of Bitcoin. For example, Elon Musk previously stated Tesla might resume accepting Bitcoin payments if the industry surpassed 50% renewable energy use-a threshold now met.