Sustainability of Bitcoins and Blockchain

Abstract

Bitcoin is a digital currency proposed by a developer hided under the pseudonym Satoshi
\nNakamoto in 2009, and it is relied on a peer-to-peer payment system created as an open
\nsource software. It is relied on blockchain a distributed and democratically-sustained public
\nregister of the transactions. Bitcoin, as well as other digital currencies, has a lower
\ntransaction cost and greater security and scalability than fiat money and no need of a central
\nbank. However, in the last years several researchers have relived environmental issues
\nrelated to the use of this money. On the contrary, the relate technology of blockchain is
\nrecognizing as a significant tool contributing to create a more sustainable world. In this
\ncontext, the purpose of this paper is to describe and evaluate the sustainability of the Bitcoin
\ncurrency and the blockchain technology considering the environmental and social impacts
\ndue to energy consumption, market diffusion compared to fiat currency. Blockchain can
\nreduce and accelerate bureaucracy processes as well as incentivize environmentally friendly
\nbehaviour. Under these perspectives, blockchain may show the full applicability of
\nsustainability in the economic, environmental and social sectors.