4 min read · Updated 2026-10-25

Bitcoin mining and energy

Bitcoin mining uses electricity by design: the energy spent is what makes rewriting history expensive. How much is used depends on the hashrate on the network and the efficiency of the machines.

Why it uses energy

Proof of work turns electricity into security. The cost of attacking the network is tied to the energy and hardware it takes to out-compute honest miners.

Efficiency

Efficiency is measured in joules per terahash. Newer machines do the same work with less energy, which is why older models are retired.

Where miners locate

Operators look for low-cost power and often for locations with surplus or curtailed energy. Cooler climates and better cooling also reduce overhead.

Sources of figures

Estimates of total energy use vary between studies, so read the method behind any number you see.

Frequently asked questions

Why not use less energy?

Energy use is part of what secures proof of work.

Does efficiency matter?

Yes, it is the main lever on cost per terahash.

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Sources and further reading: Bitcoin whitepaper · mempool.space · Bitcoin Wiki: Mining. General information only, not financial advice. Rewards from mining are variable and not guaranteed. See our risk notice.