Bitcoin mining activity and volatility dynamics in the power market
| dc.contributor.author | Karmakar, Sayar | |
| dc.contributor.author | Demirer, Riza | |
| dc.contributor.author | Gupta, Rangan | |
| dc.contributor.email | rangan.gupta@up.ac.za | en_ZA |
| dc.date.accessioned | 2022-03-14T05:30:54Z | |
| dc.date.available | 2022-03-14T05:30:54Z | |
| dc.date.issued | 2021-12 | |
| dc.description.abstract | Utilizing a measure of the Bitcoin network’s daily electricity load, we document a significant volatility effect of Bitcoin mining activity in three prominent electricity markets in the U.S. The volatility effect is found to be increasing over time, particularly with the widespread lockdowns enforced due to the COVID-19 pandemic. The findings provide novel insight to the non-virtual side of mining and trading of cryptocurrencies and underscore the need for establishing mechanisms to prevent possible destabilizing effects of this growing industry, both from a power consumption and carbon emissions perspective. | en_ZA |
| dc.description.department | Economics | en_ZA |
| dc.description.librarian | hj2022 | en_ZA |
| dc.description.uri | http://www.elsevier.com/locate/ecolet | en_ZA |
| dc.identifier.citation | Karmakar, S., Demirer, R. & Gupta, R. 2021, 'Bitcoin mining activity and volatility dynamics in the power market', Economics Letters, vol. 209, art. 110111, pp. 1-6, doi : 10.1016/j.econlet.2021.110111. | en_ZA |
| dc.identifier.issn | 0165-1765 (print) | |
| dc.identifier.issn | 1873-7374 (online) | |
| dc.identifier.other | 10.1016/j.econlet.2021.110111 | |
| dc.identifier.uri | http://hdl.handle.net/2263/84463 | |
| dc.language.iso | en | en_ZA |
| dc.publisher | Elsevier | en_ZA |
| dc.rights | © 2021 Elsevier B.V. All rights reserved. Notice : this is the author’s version of a work that was accepted for publication in Economics Letters. Changes resulting from the publishing process, such as peer review, editing, corrections, structural formatting, and other quality control mechanisms may not be reflected in this document. A definitive version was subsequently published in Economics Letters, vol. , pp. , 2021. doi : 10.1016/j.econlet.2021.110111. | en_ZA |
| dc.subject | Time-varying | en_ZA |
| dc.subject | GARCH | en_ZA |
| dc.subject | Bitcoin | en_ZA |
| dc.subject | Electricity returns | en_ZA |
| dc.title | Bitcoin mining activity and volatility dynamics in the power market | en_ZA |
| dc.type | Preprint Article | en_ZA |