Shaping the Industry: 7 Defining Moments of Proof of Work vs Proof of Stake

2. The Environmental Concerns of Proof of Work

As Bitcoin and other PoW-based cryptocurrencies gained popularity, the second major moment occurred—the growing awareness of PoW's environmental impact. The energy consumption required for mining operations surged as the network expanded. Studies comparing Bitcoin's energy usage to that of entire nations spurred global debate over the sustainability of PoW. This scrutiny led to calls for more environmentally friendly alternatives, highlighting the need for innovation in blockchain consensus mechanisms.