Bitcoin mining's low-carbon energy usage has risen to 59.4%, with hydropower becoming the dominant source, according to new data.
As of December 2025, Bitcoin mining's reliance on low-carbon energy sources has reached 59.4%, a significant increase from 52.4% in June 2024, according to preliminary data shared by Alexander Noyemuller of the Cambridge Centre for Alternative Finance (CCAF) at the Energy Investors Forum in Dallas.
Hydropower has overtaken natural gas as the dominant energy source for Bitcoin mining. This change is largely attributed to an expanded survey that now includes countries with considerable hydropower resources, particularly Ethiopia. The Hidase Dam, Africa's largest at 5,150 MW, began operations in 2022 and was officially opened in September 2025. This low-cost hydropower is drawing Bitcoin miners, who are expected to contribute about 2.6% to the global hash rate by January 2026, according to estimates from Hashrate Index.
The insights were part of the announcement for the upcoming second edition of the Cambridge Digital Mining Industry Report, set for release in late 2026. The data was collected from a survey of companies controlling over half of the global Bitcoin mining capacity. While the sample size has increased since the first report, the 59.4% figure represents only the surveyed companies' energy mix, not the entire industry.
Energy Consumption and Emissions Trends
During the same period, Bitcoin's annual energy consumption surged by 38%, climbing from 138 TWh to 190 TWh. In contrast, emissions rose by only 20%, from 40 million to 48 million tons of CO₂ equivalent. Noyemuller attributed this discrepancy to a cleaner energy mix, which has made each kilowatt-hour less polluting. However, the rise in low-carbon energy sources has not completely countered the increase in overall energy consumption, resulting in higher total emissions in the industry.
Miners' Cautious Approach to AI Integration
The CCAF survey also examined Bitcoin miners' plans regarding artificial intelligence (AI) and high-performance computing (HPC). About 10% of respondents have already allocated some resources to these technologies, while over 40% are considering it. Only 10% have decided against this shift.
Compared to the previous year, when 64% of miners viewed diversification into AI as their main risk management strategy, interest in AI has not translated into action. Noyemuller noted, “The intention to explore the issue does not equate to a commitment to deploy capacity.” This gap between interest and implementation is critical for investors, as miners are increasingly assessed based on their energy and land access rather than just mining output.
While some firms have begun contracts for AI hosting, overall deployment remains limited. Survey respondents cited financial stability and strengthening market positions as motivations for diversification, yet they also face challenges such as high capital costs and a desire to remain focused on mining operations.
Transitioning a mining site for AI use involves more complexities than merely swapping out equipment. Unlike ASIC miners, which can operate in simpler facilities, AI servers require advanced infrastructure, including reliable cooling systems and high-speed networks. Noyemuller remarked, “Electricity is becoming a scarce commodity, and many miners already have access to it.”
Despite the challenges, nearly 90% of respondents believe that AI and HPC diversification will become a significant trend in the industry in the coming years. This trend, along with vertical integration in energy generation and services, hinges on the availability of electrical resources.
In a related note, researchers from Stanford University recently indicated that major Bitcoin miners are accelerating the transition of energy facilities to support AI and HPC data centers.
