Worldwide electricity consumption ‘drops 0.2%’ as Ethereum crypto mines shut down, researcher claims

Before ‘the Merge’, the world’s second-largest cryptocurrency had similar energy demands to the Netherlands

A cryptocurrency mining operation at BitFarms in Saint Hyacinthe, Quebec

(Getty Images)

Worldwide electricity consumption has dropped by 0.2 per cent after the world’s second largest cryptocurrency switched to a “green blockchain”, according to developers.

Ethereum completed a long-awaited transition to a proof-of-stake (PoS) system in an event known as the Merge on Thursday. By doing so, its energy needs dropped by more than 99 per cent in an instant.

Before the Merge, Ethereum consumed roughly 112 TWh/yr using a proof-of-work (PoW) blockchain similar to bitcoin that required vast amounts of computing power to secure transactions and generate new units of the cryptocurrency.