Globally, statistics show that cryptocurrencies market capitalization has surpassed $500 billion rising over 2000% in 2017. This trend is expected to continue in future as businesses increasingly embrace the elegant design and transparency of the blockchain. Crypto mining has proven to be very lucrative, birthing technology companies that produce mining wares. As profitable as crypto mining is, when it comes to power consumption it is as much consuming. This mining process has the potential of raising Singapore’s world electricity consumption ranging from 43 to 20; this could increase the price of kilowatt globally as the world today depend on energy from coal and oil.
The price of bitcoin is steady on the rise and expected to reach about $20,000 per bitcoin by 2022, the more valuable one bitcoin becomes, the more energy will be consumed in mining and price spikes will attract energy spikes.
Increased demand from miners globally will also affect the prices of energy. From September 30, December 31, to March 31, 2018, one bitcoin transaction consumed as much as $7.5, $10.5 and $30.5 households for a day respectively.