1/ Just one word about this "paper" trying to prove Bitcoin is more efficient (1.2x to 5x) than the Banking system ... per transaction.

It's just a gigantic pile of crap.


2/ By their own estimates, the lower bound of Bitcoin consumption is about 57.4 TWh/yr (it's rather 128 TWh/yr as per @CambridgeAltFin).

Anyway, let's stick to it.

3/ Bitcoin settles around 300k transactions per day (which is a pathetic throughput btw, less than a 33 kbps modem from the 1990's).

4/ The SWIFT banking system (inter banking transactions) processes more that 42 millions transactions per day.

SWIFT is like the settlement / L1 of the banking system and a lower bound of total nb of transactions.

5/ So the banking system processes, at least, 140x more transactions than Bitcoin.

If it was really 5x more efficient per tx, then the banking system would consume at least :
57*140*5 =

40 000 TWh / year.

= 200% of the total world electricity production (20 000 TWh/yr).

6/ To reach this pathetic conclusion, the authors use all the tools of bad faith at their disposal:
They include everything (buildings, commutes of employees, their laptops, ...) for the banking system, but only ASIC consumption (no building, no cooling, no people) for BTC

7/ They compare theoretical transaction times and turn them into an absurd concept of transaction power. It's a lot of hooey and physical nonsense.

8/ The level of intellectual dishonesty and greenwashing reached by the Bitcoin industry is insulting to intelligence. It's like Marlboro trying to prove that tobacco is good for you.

9/ In reality the proof of work is a gigantic waste of energy. It is thousands of times less efficient per transaction than the current system, and cannot physically scale.

10/ By the way, don't be fooled, this article is not a scientific article: It is self-published and has not been peer-reviewed. Such a pile of nonsense could never have passed the peer review stage. Unfortunately, this impresses those who do not understand academic research.

I don't understand everything (very technical topic),
I'll just add that there are some alternative digital #coins, especially #NanoCurrency which is designed to be eco-efficient.

There's allo some ethical or non-speculative #cryptocurrencies like #Monero (XMR) or #Ğ1 (#Duniter) .

@poujolrost @FranckLeroy Duniter looks interesting. I'm very much against digital feudalism that crypto is enabling, by virtue of vesting power to early adopters.

Have you read Yanis Varoufakis's critique? It articulated very well what I suspected intuitively, and also ties in somewhat with what Graeber documented as the relationship between man and money.

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