How Does the Energy Consumption of PoW Compare to the Traditional Financial System?

Directly comparing the energy consumption of PoW cryptocurrencies to the traditional financial system is complex and debated. Critics of PoW highlight its substantial electricity usage, which can rival that of small countries.

However, defenders argue that this comparison is often incomplete. The traditional system's energy footprint includes not just data centers and bank branches, but also the transportation of employees, printing of currency, and powering of countless ATMs and card machines, which are harder to quantify.

PoW's energy use is transparent and directly tied to network security.