ENVIRONMENTAL ASPECTS OF BLOCKCHAIN TECHNOLOGY IN ACCORDANCE WITH ISO 14001 REQUIREMENTS.

The rapid growth of blockchain technologies in the world drew attention to the environmental aspects of its production. Blockchain technology is based on the use of significant computing power, which consumes a large amount of electricity. In most cases, traditional non-renewable energy sources are used, which leads to the depletion of natural resources. The scale of operations of the mining process of blockchain increased dramatically during the last years. By the end of 2017, the amount of electricity spent on mining exceeded 29 terawatts per hour. This indicator exceeds the level of the annual energy consumption almost all Eastern European and African countries. Russia occupies the third place in the world in terms of energy consumption for cryptocurrency production. To maintain the competitiveness of blockchain technology in the global market, it is necessary to develop an alternative development strategy using renewable energy sources. The need for a transition to a new economic course in the development of a “green” or “low-carbon” economy in the field of blockchain mining determines the relevance of the chosen research topic. The paper investigates the following key points: trends in the blockchain technology and digital economy; the matrix for its environmental risks analysis; determination of significant environmental aspects of blockchain mining in accordance with ISO 14001 requirements. The aspects’ assessment shows that the significant environmental aspects are linked to energy consumed by computers or farms at different stages of its lifestyle. Thus, environmental-friendly methods of mining (hydro mining) are needed. As a conclusion, possible applications of blockchain technology in Russia are considered. [ABSTRACT FROM AUTHOR]