Hydropower Surpasses Natural Gas as Top Energy Source for Bitcoin Mining

Bitcoin mining has hit a milestone as hydropower has surpassed natural gas to become the single largest energy source powering the Bitcoin network, according to data from the Cambridge Centre for Alternative Finance. This shift is part of a broader trend that has seen low-carbon energy sources climb to 59.4% of Bitcoin mining's total energy mix.

The numbers behind this green shift are impressive: electricity consumption for Bitcoin mining surged by an estimated 38% over the 18-month period from June 2024 to December 2025, reaching approximately 190 terawatt-hours (TWh) annually. Notably, despite this dramatic rise in power usage, total emissions from Bitcoin mining only increased by about 20% during the same period.

This development matters beyond its environmental implications. The reduction of regulatory risk and institutional adoption will be significant for anyone with exposure to Bitcoin or mining equities. Companies like Marathon Digital, Riot Platforms, and CleanSpark will also benefit from more predictable mining economics due to hydropower contracts' stability in pricing.