Crypto became greener in 2022

Jan 30, 2023 | Knowledge Base, Updates

The cryptocurrency sector is under strict scrutiny, and for a very good reason – according to European Commission, the mining industry alone requires approximately 0.4% of energy consumption worldwide. The energy consumption of crypto has increased by 900% in only five years, which does not line up with the global intent of ensuring emerging technologies […]
  1. Home
  2.  | 
  3. Knowledge Base
  4.  | Crypto became greener in 2022

The cryptocurrency sector is under strict scrutiny, and for a very good reason – according to European Commission, the mining industry alone requires approximately 0.4% of energy consumption worldwide. The energy consumption of crypto has increased by 900% in only five years, which does not line up with the global intent of ensuring emerging technologies contribute to a clean energy future. The movement towards greener crypto seems inevitable, as investor awareness and rising governmental critique force the sector to adapt to the new normal.

Ethereum in transition

Transitioning to more sustainable practices has been a prevalent trend in the crypto sector this year. The most notable shift in the industry can be pinpointed to Ethereum, which shifted its entire protocol from mining requiring proof-of-work (PoW) to proof-of-stake (PoS). According to Cointelegraph, this conversion has reduced the blockchain network’s energy consumption by a whopping 99,9%. Considering the market volume of Ethereum, there is no doubt this transition is a needed reminder among other proof-of-stake currencies.

Altcoins with a sustainable approach

 

Besides the big established currencies re-evaluating their protocols, many fascinating smaller currencies go the extra mile for a more sustainable approach. For example, the proof-of-stake consensus-based Solana combines swift transaction speed and carbon neutrality reached already in 2021. Some blockchain networks take carbon emissions even more seriously: Algorand has made its goal to be carbon-negative, and by the looks of it, this goal might be fully reachable. 

 

Avalanche is another front-runner in crypto, titled one of the most energy-efficient blockchains in 2022, according to Cointelegraph. Compared to Bitcoin, the public blockchain of Avalanche consumes approximately 0.0005% of the energy of Bitcoin. Needless to say, more and more cryptocurrencies are choosing the sustainable path, as it’s more than necessary.

This is only the beginning

As cryptocurrencies and blockchain technology take a lot of pride in providing new, better ways of financing, they are by no means immune to the struggle of slowing down climate change. For the sector to survive, it must adapt to these challenges, and luckily, 2022 goes down memory lane as a year of big changes in the world of crypto. 

Despite these changes, the entire crypto industry must adapt to cutting energy consumption and transition towards greener energy sources. While mining is still required for many cryptocurrencies, with the help of GRN Energy, even bitcoin mining can become more sustainable. By matching your crypto mining operation with the right co-location service, miners can earn BTC and minimize their impact. Let GRN Energy help you with making your mining business more sustainable. Schedule an appointment with an expert to find out how we can help you.

Other articles

Sep 20 2023

BMC’s Sustainable Bitcoin Mining: 63% Renewable Energy, 43% Global Share

The Bitcoin Mining Council (BMC) has announced substantial progress in sustainable energy adoption and operational efficiency in Bitcoin mining during H1 2023....
Aug 24 2023

Green Energy Company Raises $13M for Landfill Energy Transformation

A green energy company secures $13 million in funding to transform landfill methane into renewable energy, catering to the needs of modern data centers. The funds have...
Jul 28 2023

Advancing Smart Cities: The Power of Renewable Energy and Innovation

This article explores how smart cities use renewable energy and innovation to transform urban living. Renewable sources combat climate change, while digital tech...
Jul 18 2023

What is a Smart City?

The article discusses smart cities, which are urban areas utilizing advanced technologies and data to enhance residents’ quality of life, promote sustainability,...
Jul 10 2023

Bitcoin and the Environment: A Sustainable Future

Discover how Bitcoin (BTC) is committed to a sustainable future through the utilization of renewable energy sources and the reduction of environmental impact. Learn...
Jun 18 2023

India’s Journey Towards Net Zero Emissions: A Solar-Powered Future

India is making ambitious strides towards achieving net zero emissions by 2070, and at the core of this endeavor lies renewable energy, with solar energy taking a...
Jun 18 2023

India’s Journey Towards Net Zero Emissions: A Solar-Powered Future

Renewable energy in India requires innovation. India is making ambitious strides towards achieving net zero emissions by 2070, and at the core of this endeavor lies...
Jun 16 2023

Unleashing the Power of Volcano Energy: Exploring Sustainable Mining Operations

Unleash the power of volcano energy for sustainable mining operations. Explore how harnessing geothermal energy from volcanoes can revolutionize mining while reducing...
Jun 13 2023

Unraveling the Energy Consumption of Bitcoin: Understanding Its Power Usage

Demystify Bitcoin’s energy consumption: Understand its power usage and sustainability efforts. Discover the reasons behind its electricity-intensive nature and...
Jun 09 2023

Unmined Bitcoin: A $40 Billion Opportunity or Headache?

Uncover the untapped potential of unmined Bitcoin and its impact on global challenges. GRN Energy explores responsible innovation, renewable energy, and leveraging...