The changing dynamics of crypto mining and environmental impact

Kumari, Pooja; Mamidala, Vasanthi; Chavali, Kavita; Behl, Abhishek

Abstract

This study investigates the association between energy consumption in Bitcoin mining and energy indices. The study also examines the moderating effect of COVID-19 on the relationships between energy consumption in Bitcoin mining and energy indices. We applied vector autoregression and vector error correction models. Before COVID-19, the relationship between Bitcoin mining and the clean energy index was significant. However, after the pandemic, this relation was found to be less significant compared to Bitcoin mining and the dirty energy index association. The findings help investors and policymakers to understand the environmental impact of Bitcoin mining.

Citation

Kumari, P., Mamidala, V., Chavali, K., & Behl, A. (2024). The changing dynamics of crypto mining and environmental impact. International Review of Economics and Finance, 89a, 940-953. https://doi.org/10.1016/j.iref.2023.08.004

• Journal Article Type: Article
• Acceptance Date: Aug 15, 2023
• Online Publication Date: Aug 17, 2023
• Publication Date: 2024-01
• Deposit Date: Jun 24, 2024
• Journal: International Review of Economics and Finance
• Print ISSN: 1059-0560
• Publisher: Elsevier
• Peer Reviewed: Peer Reviewed
• Volume: 89a
• Pages: 940-953
• DOI: https://doi.org/10.1016/j.iref.2023.08.004
• Keywords: Bitcoin; Energy consumption; Energy indices; Vector autoregression; Vector error correction model
• Public URL: https://keele-repository.worktribe.com/output/855858
• Publisher URL: https://www.sciencedirect.com/science/article/pii/S1059056023003246?via%3Dihub