Indicators

Impact of the Use of Equipment on Natural Resources

This indicator assesses the environmental impact of blockchain hardware across its lifecycle, including production, usage, and disposal.

Production phase: Mining hardware manufacturing relies on critical raw materials, including rare earth metals and silicon, contributing to environmental degradation and resource depletion.
Usage phase: Blockchain infrastructure consumes electricity and cooling water, particularly in large-scale data centers. Bitcoin mining, for instance, has been linked to high water consumption rates in certain regions.
Disposal phase: Electronic waste from decommissioned devices can contribute to soil and water pollution if not properly recycled or disposed of.
Water footprint assessments are based on energy consumption and regional water intensity factors, helping estimate the total water usage associated with blockchain operations.

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