Cryptocurrency mining has a large carbon footprint. The process requires a computer process that consumes a massive amount of electricity. Other than that, the mining system also requires the latest, fastest, most energy-efficiency computer chips and discard older ones. The average lifespan of a bitcoin mining chip is just a year. The consequence is the annual volume of e-waste from bitcoin mining globally is about 30,700 metric tons. This amount is almost as much as the e-waste produced by Netherlands in a year.
Bitcoin’s growing appetite for new hardware is contributing to the global shortage of semiconductor chips.