Ethereum slashes energy 99.99% to 7.87 GWh after Merge, Cambridge finds

Ethereum's annual electricity consumption has fallen to 7.87 gigawatt-hours after its transition to Proof-of-Stake, a more than 99.98% reduction from pre-Merge levels, according to a Cambridge Centre for Alternative Finance study published July 11.

"The scale of Ethereum's energy reduction is unprecedented for a major blockchain network and represents one of the most significant efficiency improvements in the industry's history," the CCAF said in its report, which independently verified the network's post-Merge power usage using a bottom-up methodology based on validator counts, hardware specifications and network activity.

The study covered the 12-month period ending June 2026. Before transitioning to Proof-of-Stake in September 2022, Ethereum relied on energy-intensive mining rigs that consumed electricity comparable to that of a medium-sized country. The network now uses less power than approximately 1,000 US households, the CCAF found.

The independent confirmation removes a key barrier for ESG-focused institutional investors who had previously avoided Ethereum because of its Proof-of-Work energy profile. The finding could accelerate adoption by environmentally-conscious enterprises and may influence regulatory stances on blockchain technology, potentially supporting positive price momentum for ETH.

The Merge eliminated Ethereum's reliance on mining by replacing computational Proof-of-Work with a staking system where validators lock up 32 ETH to secure the network. Ethereum now has more than 1 million active validators, according to beaconcha.in data.

The energy reduction positions Ethereum favorably against other major blockchain networks. Bitcoin, which still uses Proof-of-Work, consumes an estimated 150 TWh annually, per the Cambridge Bitcoin Electricity Consumption Index. Solana, another leading Proof-of-Stake network, has estimated annual energy consumption of approximately 1,900 MWh.

This article is for informational purposes only and does not constitute investment advice.