Energy consumption by cryptocurrency: A bibliometric analysis revealing research trends and insights

Abstract

Cryptocurrency is rapidly emerging as a prominent player in the global financial system, characterized by its decentralized nature and the absence of centralized government oversight. However, this autonomy raises significant environmental concerns primarily stemming from the energy-intensive mining process. Crypto mining, central to the creation of new coins and transaction validation, results in substantial carbon emissions and energy consumption. This study employs bibliometric analysis using RStudio to scrutinize the data sourced from the Scopus database. Data selection adhered to specific inclusion criteria, focusing on research articles and documents in the English language. Exclusion criteria targeted the elimination of review papers, conference reviews, short surveys, notes, and articles in languages other than English. China emerges as the foremost contributor with a frequency of 348 and a total citation count of 1259, followed by the USA with 594 citations. Notably, the keywords "blockchain" and "bitcoin" surface most frequently, occurring 293 and 148 times, respectively. The study posits that China's decision to ban cryptocurrency due to economic concerns has likely contributed to heightened global awareness of cryptocurrencies. In contrast, the USA has actively embraced cryptocurrencies, fostering their widespread circulation. Consequently, these two countries have emerged as leading contributors to energy consumption in the cryptocurrency sector. Blockchain, originally a broad concept, has found applications in diverse domains such as marketing, finance, healthcare, supply chain, and the Internet of Things (IoT). This widespread adoption has expanded the scope of energy consumption considerations from cryptocurrencies to encompass blockchain technology as a whole. Future research should focus on mining regulation, alternative mechanisms, renewable energy sources, technological advancements, and carbon offsetting solutions. The article also addresses its limitations and the future scope of the study in detail.