Description: This post looks at some of the greenest cryptocurrencies to invest in. Click here to find out more.
Last October, Smithsonian Magazine published an article stating that the carbon footprint of bitcoin could be as high as or worse than the beef or crude oil industries. The carbon emissions needed to mine a single bitcoin have increased from 0.9 tons in 2016 to 113 tons in 2021, which means it is less eco-friendly than ever. Fortunately, there are greener cryptocurrencies to consider.
Due to the complicated levels of processing necessary, cryptocurrency mining typically consumes a lot of energy. Alternative models with a low environmental impact, known as green cryptocurrencies, have been created to reduce the carbon footprint associated with the first digital currencies. Many cryptocurrency users prefer them to bitcoin since they are eco-friendlier.
Sustainability is quickly becoming an essential requirement for the blockchain industry’s future. Therefore, it’s critical to develop a cryptographic process that is effective and efficient in expanding the use of blockchain-based cryptocurrencies. To assess the energy efficiency of a particular cryptocurrency, examine its procedure for creating and preserving blocks of information: how the currency’s users have agreed to record and confirm the information in each block of the database.
Environmentalists believe cryptocurrency mining consumes an alarming quantity of fossil fuels. However, there are alternative, eco-friendly cryptocurrencies that cause less harm to the environment. These could alleviate concerns about cryptocurrency and the environment. Smaller currencies may have a lesser carbon footprint, although this is generally due to fewer transactions. However, there are some digital assets that are more energy efficient, which implies they have a lower environmental impact. If you want to buy cryptocurrency that is environmentally friendly while making money, check out the following.
After considerable investigation and testing, we discovered C+Charge to be one of the greenest cryptocurrencies of 2023. The relatively new crowdfunding project hopes to entice drivers away from fossil fuels and toward electric vehicle ownership by rewarding them with carbon credits and minimizing inefficiency and annoyance through its smartphone app. In addition, C+Charge will encourage EV ownership by allowing users to earn carbon credits simply for recharging. Carbon credits permit a holder to offset their carbon footprint by funding green projects, with one credit equaling one ton of CO2 emissions.
SolarCoin is worldwide, decentralized, and unaffiliated with any government. SolarCoin can be spent and traded like other cryptocurrencies, but the platform’s primary goal is to promote real-world environmental activity: verifiably produced solar energy. SolarCoin takes a unique approach to cryptocurrency, issuing one SolarCoin for every megawatt hour produced by solar technology. This network currently relies primarily on individuals submitting documentation to demonstrate energy generation, but the Internet of Things may one day automate this process with automatic updates from solar arrays.
Ripple’s eco-friendliness is because it does not use Bitcoin’s proof-of-work consensus process. Instead, it employs a distributed agreement system that requires a supermajority of nodes to agree to confirm transactions. While some argue that this makes Ripple less decentralized and safer than Bitcoin, it also means that Ripple can scale well beyond Bitcoin while remaining less energy-intensive. Ripple has vowed to achieve net-zero carbon emissions by 2030. This certainly does not imply that it would not require any energy; instead, any energy consumed would be created exclusively from renewable sources.
Because of the enormous amount of computer power and energy required to run and process transactions, many cryptocurrencies have been labeled harmful to the environment. However, one new crypto project’s entire business model is to be environmentally benign and actively contribute to resolving the climate catastrophe. IMPT has collaborated with over 10,000 globally recognized brands and organizations, including Microsoft, LEGO, and GameStop, to assist people and corporations in offsetting their carbon footprint when purchasing. Unlike many new crypto projects that fail, IMPT is developing a project that aims to solve a highly timely real-world issue – the climate disaster – making it one of the most significant new cryptos to invest in this year.
Few cryptocurrencies have made a more significant commitment to becoming green than Algorand. On Earth Day 2022, it blacked out over 20 Times Square billboards and announced that it is a carbon-negative blockchain. Algorand is a blockchain platform that can run smart contracts, making it one of Ethereum’s numerous competitors. It already has a low carbon footprint because it validates transactions using the proof-of-stake approach. Algorand introduced a smart contract to offset the carbon impact of every transaction without any activity on the user’s behalf to become carbon-negative. A portion of its network fees will also be used to purchase carbon credits through ClimateTrade.