Thanks very much for your reply. I agree with your analysis, and this thread has actually changed my mind as to my initial criticism. After more careful study of the design of the Bitcoin network and trying to understand the exact manner in which Bitcoin attempts to create value from the computational work invested, I am now inclined to think that bitcoin is in fact high EFFICIENT rather than inefficient. My thinking now is that bitcoin does not, in fact “waste” computational work at all – instead it works hard to deliver the most value possible from that computational work. Something like a governnment issued fiat currency may not have any obvious energy burden beyond its printing – but in fact, maintaining the value of a fiat currency requires a substantial investment in maintaining police enforcement, a legal system, and national defense. In comparison to the energy cost of hiring police officers to enforce economic honesty, the energy costs of investing cpu cycles in guaranteeing that honesty mathematically seem very small!

The heat from your computer is not wasted if you need to heat your home.  If you’re using electric heat where you live, then your computer’s heat isn’t a waste.  It’s equal cost if you generate the heat with your computer.

If you have other cheaper heating than electric, then the waste is only the difference in cost.

If it’s summer and you’re using A/C, then it’s twice.

Bitcoin generation should end up where it’s cheapest.  Maybe that will be in cold climates where there’s electric heat, where it would be essentially free.

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