energy consumption by artificial intelligence and blockchain

The International Energy Agency says artificial intelligence energy consumption will skyrocket. However, it also points to the development of the blockchain market and the growing energy demand of this industry.

The International Energy Agency warns that new technologies consume more and more energy

According to the International Energy Agency, cryptocurrency mining and artificial intelligence will consume more and more energy in the coming years.

Let me reassure you right away: there is also good news from the report:

Energy is currently the largest source of carbon dioxide (CO2) emissions in the world, but it is also the leading sector in the transition to net zero emissions.

In addition, renewable energy sources will become the main energy sources in 2025. At least that's what experts say.

Energy consumption growth decreased from 2.4% in 2022 to 2.2% in 2023. But it is expected to increase to 3.4% by 2026. China and India are expected to have the largest share in this leap. In turn, energy consumption by data centers, artificial intelligence and cryptocurrency mining may more than double during this time and exceed 1,000 terawatt hours (TWh). One-third of all data centers today are located in the United States.

Energy consumption by artificial intelligence will increase tenfold between 2023 and 2026. ChatGPT alone is expected to consume almost 10 TWh per year during this period. Each human query on ChatGPT uses almost 10 times more energy than searching for information on Google.

How much electricity does Bitcoin consume?

Bitcoin as a network consumed 120 TWh in 2023. The entire mining market (including altcoins) – 130 TWh. The latter number increased from 110 TWh recorded in 2022. Then it was 0.4% of global energy consumption. However, cryptocurrency mining will consume as much as 160 TWh per year by 2026.

It is worth adding that 54.5% of bitcoin mining is carried out using renewable energy. This shows that mining is an area focused on reducing negative impact on the environment.